New Delhi, March 5 (IANS) The Enforcement Directorate (ED) arrested two chartered accountants in connection with a Rs 641 crore cyber fraud case wherein innocent citizens were induced to transfer funds on the pretext of investment opportunities and part-time job schemes, an official said on Thursday.
The ED Headquarters Unit in New Delhi arrested Chartered Accountant (CA) Ashok Kumar Sharma and CA Bhaskar Yadav on February 28 under the provisions of the Prevention against Money Laundering Act (PMLA), 2002, in connection with the investigation of a cyber fraud case, the central agency said.
During the investigation conducted so far, a total of 10 individuals, including Ashok Kumar Sharma and Bhaskar Yadav, have been arrested.
Two provisional attachment orders (PAOs) have been issued, attaching movable and immovable properties valued at nearly Rs 8.67 crore.
Two charge sheets have also been filed before the Special PMLA Court, and cognisance of the charge sheets has been taken by the court.
"Investigation conducted by the ED revealed a large-scale cyber-enabled fraud wherein innocent citizens across India were induced to transfer funds on the pretext of investment opportunities, part-time job schemes, QR code-based scams, phishing operations, and other fraudulent digital inducements," the ED said.
"The proceeds of cyber fraud amounting to nearly Rs 641 crore were initially credited into mule accounts managed and operated by members of certain Telegram groups and thereafter layered through a web of dummy/shell entities across India to fragment and obscure the source of funds," the central agency added.
The laundered amounts were subsequently transferred using Indian bank-issued VISA and Master debit cards to the UAE-based fintech platform "PYYPL", which provides internationally usable prepaid cards regulated by the Abu Dhabi Global Market Financial Services Regulatory Authority (ADGM), the ED statement said.
"From the PYYPL wallets, the funds were either withdrawn overseas, particularly in Dubai through ATMs and POS transactions, or converted into Virtual Digital Assets (VDAs) via the Binance crypto exchange, and further routed through a complex chain of custodial and non-custodial wallets to conceal the money trail and project the proceeds of crime as untainted property," it added.
"During investigation, it was revealed that a structured syndicate, comprising of well-educated professionals, including Chartered Accountants Ashok Kumar Sharma, Bhaskar Yadav, Ajay, and Vipin Yadav, was operating a coordinated money laundering scheme," the ED said.
The syndicate incorporated and controlled more than 20 entities operating from common addresses in Bijwasan in Delhi, with overlapping partners and authorised signatories, and demonstrated convergence in KYC documentation, mobile numbers, and email IDs. These entities functioned as conduits for the systematic layering of illicit funds and their subsequent transfer outside India.
"As part of the investigation, searches were conducted at various locations, including at the residence of Ashok Kumar Sharma and Bhaskar Yadav, on November 28, 2024," the ED added.
"During the search proceedings at the residence of Ashok Kumar Sharma, he deliberately fled from the premises and, while evading lawful action, allegedly assaulted ED officials," the statement said.
In this regard, an FIR was registered at Kapashera Police Station in New Delhi against Ashok Kumar Sharma and his brother Subhash Sharma for the said unlawful acts.
"Bhaskar Yadav also absconded from his residence upon learning that officials of the ED had reached his premises to conduct a search," it added.
"Incriminating documents, including ATM cards and cheque books, of shell entities were found and seized from the residence of CA Ashok Kumar Sharma," the ED said.
"Since November 28, 2024, Ashok Kumar Sharma and Bhaskar Yadav had been absconding and sought anticipatory bail to evade investigation under the PMLA, 2002; however, their applications were successively dismissed by a Special Court and the Delhi High Court, considering the gravity of the allegations, material on record, and the rigours of Section 45 of the PMLA, 2002," it added.
"Bhaskar Yadav filed a Special Leave Petition before the Supreme Court, which was also dismissed on February 18, 2026, with a direction to surrender before the court concerned. Upon surrender of the accused Ashok Kumar Sharma and Bhaskar Yadav, were arrested under Section 19 of PMLA, 2002," the ED said.
--IANS
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