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Cyberabad police serve notices to 63000 independent representatives in eBbiz MLM fraud case

Police during the investigation have found more than 66,000 IRs of eBiz in Telangana and Andhra Pradesh, while others are spread in other parts of the country.

Published: 05th October 2019 05:38 AM  |   Last Updated: 05th October 2019 05:38 AM   |  A+A-

During the past three years, the Enforcement Directorate has intensified its anti-money laundering actions. It has registered 519 cases and conducted 396 searches.

Express News Service

HYDERABAD: Cyberabad police have served notices to as many as 63,964 Independent Representatives (IRs) — those associated with the Haryana-based MLM firm eBiz.com India private limited. The firm’s founder-cum-director Pawan Malhan, and his son Hitikh Malhan were earlier arrested by the Economic Offences Wing of cyberabad. They are accused of cheating more than 17 lakh people from across the country and siphoning off more than Rs 5,000 crore from them by selling its products.

Officials associated with the investigation stated that the company has enrolled members from all over the country and is rampant in Hyderabad, Bengaluru, Chennai, apart from the states of Uttar Pradesh, Maharashtra, Goa, and also Jammu and Kashmir and Delhi. The scam had come to light after they cheated a Hyderabad-based student.

Police during the investigation has found more than 66,000 IRs of eBiz in Telangana and Andhra Pradesh, while others are spread in other parts of the country.

As part of the investigation, notices under section 41A of the CrPC were served to the 63,964 IRs through emails, while email details of around 3,000 IRs could not be traced.

Through the notices served, police asked the IRs to appear before them and furnish the details of their association with the firm and how they had joined or enrolled in the firm and what are the benefits they received during their association with it.

So far, four cases have been registered against eBiz.com Pvt Ltd in Cyberabad limits, and there are at least 12 cases in other states, including AP. The Enforcement Directorate (ED)  has also registered a case against the group and initiated a probe, based on the cases registered by the Cyberabad police.

Ownership
Pawan Malhan floated the group in 2001 in Noida and soon spread operations all over India. While he holds 99% of the group’s shares, 1% are in the name of his daughter, and his wife, Anitha Malhan. The latter serves as a director of the firm



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  • Ex-eBizer

    Yes
    1 year ago reply
edexworks
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