The Directorate of Enforcement (ED) conducted search operations on March 13th, 2023, across 15 banks, which had a total of 180 bank accounts, as part of an ongoing investigation into illegal forex trading on the TP Global FX platform. These accounts were found to have been involved in the layering of funds received from the public and investors under the guise of forex trading.
As a result of the search, ED has frozen a total of Rs 121.02 Crore under the Prevention of Money Laundering Act (PMLA), 2002. The investigation was initiated based on an FIR registered by the Kolkata Police against M/s T M Traders and M/s K K Traders.
The Reserve Bank of India (RBI) has confirmed that the TP Global FX website is neither registered nor authorized for forex trading, and it has included TP Global FX’s name in its Alert List to caution the public against unauthorized trading platforms.
ED’s investigation revealed that the accused individuals had defrauded the public by using various dummy companies, firms, and entities that they controlled and managed. These entities collected a significant amount of money from the public under the guise of making investments in forex trading using the TP Global FX platform/website.
The funds collected were then layered and transferred to other companies/entities in which the accused persons or dummy persons were the directors/proprietors. Finally, these funds were used to purchase movable/immovable properties for the personal gains/benefits of the accused persons.
The investigation also found that accused Shailesh Kumar Pandey and Prasenjit Das were arrested by ED earlier and are currently in judicial custody. Another accused, Tushar Patel, is still on the run and has not joined the investigation so far.
This news has sent shockwaves through the financial industry, raising concerns about the prevalence of unregulated trading platforms in India. The investigation underscores the need for greater regulation and monitoring of trading platforms to protect the public and investors.
The ED’s search operations and subsequent freezing of funds highlight the government’s commitment to combat money laundering and financial fraud in India. The PMLA, which empowers the ED to take swift action against such activities, is a powerful tool in this fight.
The ongoing investigation serves as a warning to anyone engaging in illegal financial activities and underscores the ED’s commitment to rooting out financial fraud and protecting the interests of the Indian public.
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