New Delhi | The Enforcement Directorate on Wednesday filed a charge sheet against the Pearls Group and its chief Nirmal Singh Bhangoo in connection with a ponzi scam involving over Rs. 45,000 crores, which was collected allegedly by two companies from 5.5 crore investors.
Apart from Nirmal Singh Bhangoo, who is in judicial custody, his three colleagues and other persons have also been named in the ED charge sheet filed in a special court under the Prevention of Money Laundering Act (PMLA).
The ED, which started the probe after lodging an FIR in 2015 based on the Central Bureau of Investigation’s (CBI) case, had in January attached Australia-based assets of the Pearls Group and Nirmal Singh Bhangoo worth Rs. 472 crore.
The CBI had arrested Nirmal Singh Bhangoo and his three colleagues in 2016 following allegations that they collected funds from investors in Delhi, Punjab, Haryana, Rajasthan and other states through ponzi schemes, in the name of real estate projects.
Nirmal Singh Bhangoo, his companies PACL and PGFL, as well as his lakhs of commission agents were accused of cheating 5.5 crore investors on the pretext of sale and development of agriculture land.
The companies made false allotments of land to investors. However, the companies never owned any land in their own name.
Nirmal Singh Bhangoo and his companies promised the investors that allotment would be done on their investment between 90 and 270 days and if not, handsome returns would be paid.