ED sent summons to actor Prakash Raj, what is the connection with Rs 100 crore Ponzi scam?

Actor Prakash Raj has been summoned by the Enforcement Directorate (ED) for questioning in the alleged Rs 100 crore ponzi and fraud case against the Tiruchirappalli-based jewelery group. Prakash Raj (58), a vocal critic of BJP, has been the brand ambassador of this company. He has been asked to appear before the ED in Chennai next week. The investigation pertains to a case against Pranav Jewellers, a Tiruchirappalli-based partnership firm, which it raided on November 20 and claimed to have seized ‘unexplained’ cash and some gold jewelery worth Rs 23.70 lakh.

About the scheme

A Ponzi scheme allegedly run by the entity Pranav Jewellers, under the ED probe on the basis of a first information report (FIR) lodged by the Economic Offenses Wing (EOW) in Trichy against Pranav Jewelers and others involved in alleged financial irregularities. She has arrived. According to the FIR, Pranav Jewelers and others collected Rs 100 crore from the public under the guise of a gold investment scheme with the promise of high returns, but failed to fulfill his promise, the probe agency said in a statement.

“Pranav Jewelers failed to return the amount to such investors and the firm (Pranav Jewellers) and other associated persons defrauded the public by transferring public money to fake entities/admission providers in the guise of purchasing bullion/gold jewellery,” the ED said. Gave.” The supplier parties in the books of Pranav Jewelers were entry providers who, during investigation, “confessed” to providing adjustments and fake accommodation entries to Pranav Jewelers for an amount in excess of Rs 100 crore and also to giving cash to the accused persons. Of “accepted”.

“During the search, various incriminating documents, unexplained cash worth Rs 23.70 lakh, bullion weighing 11.60 kg and gold jewelery were seized,” the investigating agency said.