Investors have called for improved communication during the course of the investigation by the EOW sleuths
Amber Dalal
Over hundred-plus investors based out of India, the majority from US, followed by Dubai, are completely clueless about the ongoing EOW probe’s progress and the status of their investments, claims an investor who wrote to mid-day from the US. The investor claims that over $47 million (approximately Rs 390 crore) of investors is at stake.
The investor added that Amber Dalal owns a property in Dubai, and they had even extracted the property number from the Dubai Land Department. mid-day reached out to the Dubai Land department, to verify the details of a property owned by Amber. But an official who spoke, cited his inability to share any such information, stating that it was ‘personal and confidential information.’
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“Amber attracted two types of overseas investors: those in the USA, mainly in California, New Jersey, North and South Carolina, and others from around the world, notably Dubai, which had the second highest number of investors. Over the years, his personable demeanour and track record built trust among investors, many of whom had been with him for eight to 10 years. While initially relying on word of mouth, in September 2023, he introduced a new scheme promising 1.5 per cent extra returns with funds to be returned by March 2024,” said the investor.
Office of the Commissioner of Mumbai Police in Crawford Market
“Numerous investors, including those relying on monthly returns for medical needs and retirement savings, trusted Amber with their investments. Mithil facilitated bank transfers and investor relations. Surprisingly, Mithil’s involvement is absent despite his prior role. Amber holds properties in Dubai, with 89 investors from the USA, 11 from Dubai, and others from Canada and Hungary, totalling USD 46.7 million (approximately Rs 390 crore) scammed. More victims may emerge post-April, anticipating unpaid returns,” the investor added.
“Overseas investors, possibly from various parts of India, face a challenge in coordinating with Mumbai police due to distance. As a result, they often feel uninformed about the progress of the investigation, despite being aware of Amber’s arrest,” said a Mumbai investor involved in a WhatsApp group formed by victims of Amber’s scheme.
Two key messages from foreign investors were highlighted in the group. Firstly, an overseas investor sought detailed information on the case background, including the total amount misappropriated, number of victim investors, case submission status, assigned officers, and who holds consolidated information. Secondly, another investor stressed the importance of a forensic investigation, particularly regarding fund tracing to determine the whereabouts of investors’ funds. However, it’s uncertain if these critical inquiries are reaching the EOW officials or if they have any responses.
Mumbai Police speaks
A police officer from EOW speaking to mid-day said, “We’ve uncovered a scam exceeding R380 crores involving over 592 investors. The numbers may rise. Investors are urged to fill out a Google form. The suspect is in custody until April 1, and then will be produced before the court, requesting extended police remand. We’ll investigate all angles, including potential middlemen. Follow SEBI guidelines to avoid falling victim to similar schemes.”
Channelise communication
Most of the investors are clueless about the ground-breaking happenings, especially with the Economic Offences Wing probe and are ignorant about the legal procedure to follow and have to rely completely on WhatsApp community groups. “Since many investors live outside Mumbai or abroad, they’re worried about the case, especially with the freezing of 33 bank accounts. It’s crucial to provide regular updates and procedures on social media or the Mumbai police website. This way, investors can access authentic information directly and protect themselves from potential exploitation by middlemen or agents,” said an investor.
Rs 390 cr
Total money invested with Amber Dalal
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