Kolkata, India – November 26, 2024: The Enforcement Directorate (ED) has launched a series of searches on properties connected to the Prayag Group in Kolkata as part of its ongoing investigation into a major chit fund scam. The raids are part of a broader money laundering probe, where the ED is examining assets allegedly linked to the group’s fraudulent operations. The Prayag Group is suspected of running a Ponzi scheme, attracting investors with promises of high returns but failing to deliver, resulting in significant financial losses for thousands of people.
This action follows the ED’s receipt of information about the group’s involvement in illegal fund mobilization. During the searches, the authorities seized various documents and evidence that could provide insights into the scale of the scam. The ED is now focused on tracing the flow of illicit funds and uncovering potential links to other financial irregularities.
The Prayag Group has come under scrutiny for allegedly operating without the necessary regulatory approvals, deceiving the public by taking investments from unsuspecting individuals. The group’s activities have raised concerns about the exploitation of trust, leading to its investigation by the ED as part of the larger crackdown on such fraudulent schemes.
The ED’s searches are part of ongoing efforts to bring to justice those responsible for defrauding the public through illegal financial schemes. This move is part of a nationwide push to tackle chit fund scams, protect investors, and ensure accountability in the financial sector.
