Enforcement Directorate Executes Raids in Bengal Linked to Chit Fund Scandal

Kolkata, Dec 12 (NationPress) On Thursday, officials from the Enforcement Directorate (ED) conducted search operations at two locations in Rishra, situated in the Hooghly district of West Bengal, as part of an investigation into a chit fund fraud case.

As per sources, the raids are in progress at the residence of a local entrepreneur, Yugal Mathiaat, located in the Vidya Apartment housing complex on NS Road in Rishra.

Simultaneously, sources indicate that additional search operations are being executed at the home of another local businessman in the Bangur area of Rishra.

The identity of the second businessman involved in the raid has not yet been disclosed.

Both teams from the ED are being accompanied by personnel from the Central Armed Police Forces (CAPF).

The search operations commenced on Thursday afternoon.

After a period of relative inactivity, the central investigative agencies have resumed their efforts against various Ponzi schemes operating in West Bengal and their executives.

In late November, the ED arrested two directors from the Prayag Group, Basudeb Bagchi and his son Abhik Bagchi, following extensive raids and searches at several locations associated with the group, including the residences of the arrested directors.

The Prayag Group faced multiple allegations, including the illegal solicitation of public deposits through various enticing multi-level marketing schemes, transferring funds via the hawala network, deceiving investors by failing to provide promised returns, and engaging in money laundering.

West Bengal has a notorious background with chit fund schemes, dating back to 1980 when the Sanchaita Ponzi scam was exposed.

The issue resurfaced in 2012 with the exposure of several chit fund frauds, the most notable being the Saradha and Rose Valley scams.