Gujarat: ED Seizes Assets Worth Rs 109 Crore in Creditbulls Investment Fraud Investigation
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Synopsis
The ED has attached assets worth Rs 1.09 crore in connection with the Creditbulls Investments fraud case involving Dhaval Solani. This action follows a detailed investigation into a financial scam that has grown to Rs 23 crore, affecting multiple states in India.
Key Takeaways
- ED's provisional attachment of Rs 1.09 crore in assets.
- Investigation under the Prevention of Money Laundering Act.
- Fraudulent promises of high returns to investors.
- Proceeds of Crime inflated from Rs 8.93 crore to Rs 23 crore.
- International money laundering concerns raised.
Ahmedabad, March 24 (NationPress) The Directorate of Enforcement (ED), Ahmedabad Zonal Office, has provisionally attached immovable and movable assets totaling Rs 1.09 crore belonging to Dhaval Solani, the principal figure of M/s Creditbulls Investments, along with family members.
This measure, executed under the Prevention of Money Laundering Act (PMLA), 2002, is a culmination of a detailed investigation into alleged financial fraud perpetrated by the investment firm.
The inquiry was triggered by numerous FIRs filed by Gujarat and Tamil Nadu Police in Jamnagar, Rajkot, and Chennai, accusing M/s Creditbulls Investments, Dhaval Solani, and their associates of defrauding the public with promises of extravagant monthly returns.
Initially, the Proceeds of Crime (PoC) in this case were estimated at Rs 8.93 crore. However, further investigation has revealed that the actual figure has surged to Rs 23 crore, indicating that the scam spans multiple states and Union Territories, including Gujarat, Tamil Nadu, and Delhi, thus qualifying it as a pan-India financial deception.
Previously, the ED executed searches at various locations associated with Creditbulls Investments, Dhaval Solani, and others, resulting in the seizure and freezing of a luxury vehicle, incriminating documentation, and roughly Rs 50 lakh in a Demat account.
Investigators also found evidence that the public funds collected by the accused were misappropriated for personal luxuries and funneled into foreign accounts, raising alarms about potential international money laundering.
As investigators continue to quantify the scam, the ED’s inquiry is ongoing. Authorities are striving to identify additional assets and unveil the full scope of the fraudulent financial network.
This case underscores the growing vigilance by law enforcement agencies regarding fraudulent investment schemes that draw in unsuspecting investors with unrealistic profit promises—an increasingly concerning trend in India’s financial landscape.
In recent years, Gujarat has experienced several major financial frauds prompting enforcement actions from authorities. In December 2024, the Enforcement Directorate (ED) executed searches at 19 locations across Gujarat, including Rajkot, Kutch, Jamnagar, and Surendranagar, concerning the misappropriation of government funds in post offices.
These searches resulted in the recovery of around Rs 1 crore and revealed details of immovable properties exceeding Rs 1.5 crore.
In October 2024, the ED conducted coordinated searches across Gujarat related to a money laundering case linked to a Goods and Services Tax (GST) fraud. Raids were carried out at 23 premises in cities such as Rajkot, Junagadh, Ahmedabad, Bhavnagar, and Veraval.
This operation followed the detention of eight individuals, including a journalist, by state police for their alleged involvement in the fraud.
Another significant case involves the Adarsh Credit Cooperative Society, implicated in a Ponzi scheme that defrauded over 20 lakh depositors of approximately Rs 8,000 crore.
Founded by Mukesh Modi, the society misappropriated funds for personal gains, resulting in the arrest of several key figures and the attachment of properties valued at Rs 1,489 crore by the ED.
