Rs 700-crore money laundering network with fake firms busted
The Haryana Police’s State Crime Branch has dismantled a major organised crime network involved in transferring black money abroad via fake companies. The investigation uncovered that the accused had illegally funneled around Rs 700 crore to foreign bank accounts, disguised as business transactions. So far, seven individuals have been arrested, and chargesheets have been filed against five additional suspects in court.
The police received an initial complaint on March 18, 2024, regarding suspicious financial transactions. Acting swiftly, Director General of Police (DGP) Shatrujeet Kapur directed the formation of a Special Investigation Team (SIT) led by Additional Director General of Police, State Crime Branch, and Deputy Commissioner of Police, Gurugram, Nitish Aggarwal. During the probe, it was revealed that the accused systematically established fake companies under the names of “dummy directors” to conduct these illicit transactions.
The fake directors opened bank accounts with the assistance of certain bank officials who enabled them to complete e-KYC formalities, while the accused maintained full control over these accounts, including access to ATM cards, net banking credentials, and registered mobile SIMs. Through these companies, falsely registered in the names of dummies, they operated imports and exports via Gujarat and Mumbai ports, claiming transactions with foreign entities. By artificially inflating invoice prices, they were able to transfer substantial sums of money abroad, profiting from hefty commissions for each illegally transferred dollar.
The gang reportedly conducted funds transfers by showcasing fictitious sales and purchases. A substantial part of these transactions involved converting rupees into dollars, which were then deposited in foreign company accounts. In a more elaborate ruse, the accused even rented goods from foreign companies, falsely documented these as purchases, and later re-exported them, often without receiving any payment in return, as evidenced in the paperwork.
To evade detection, the accused maintained separate addresses, bank records, and import-export documentation for each company, making it difficult for authorities like the Directorate of Revenue Intelligence (DRI), Customs, Enforcement Directorate (ED), and Central GST to trace the inconsistencies.
Among the arrested, three are residents of Delhi, while others hail from Dehradun, Jhajjar, Sonepat, and Faridabad. The SIT has already filed chargesheets against five suspects. During the raids, the police seized a large volume of forged documents, about 26 mobile phones, laptops, company stamps, and other incriminating materials. One of the detained individuals has prior cases of murder and grievous harm filed against him.
The Haryana Police’s SIT is investigating the case under the supervision of senior officials, with the objective of fully dismantling this network and preventing future illegal financial operations.
