Mumbai Crime Branch nabs accused who duped 500 investors of Rs 170 crore

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The Mumbai Crime Branch's Property Cell, which is investigating a Ponzi scam in which over 500 investors were duped of Rs 170 crores, arrested a key accused on Tuesday. Manikkam Velayutham Udgair (40), a resident of Versova in Andheri, was arrested as part of the continuing investigation.

In July, the authorities arrested Ashish Shah of Madhya Pradesh for impersonating a SEBI-registered agent. Shah promised victims great profits for investing their money in the stock market, only to scam them.

According to Deputy Commissioner of Police (Crime Branch) Datta Nalawade, the accused purchased homes and two luxury automobiles, a Fortuner and an MG Hector, for Rs 55 lakh.

Luxury cars seized by the Mumbai Crime Branch/ Sourced Photo

Previously, the police collected Rs 25 lakh and 1.9 kilograms of gold worth Rs 1.42 crore from Shah. The police have also invoked portions of the Maharashtra Protection of Interest of Depositors (MPID) Act, and the accused's properties are expected to be attached in accordance with the Act's provisions.

An FIR for cheating had been filed against Shah at the Versova Police Station. According to Nalawade, Shah made contact with various people during the COVID-19 epidemic and fraudulently claimed to be a SEBI-registered share market agent through word-of-mouth. He promised investors an annual return of 84 per cent.