₹792 Cr Falcon Invoice Discounting Scam: Supreme Court Issues Notice on CA’s Plea to Consolidate FIRs, Denies Interim Protection [Read Judgement]

The Supreme Court has issued notice to several States on a writ petition filed by Chartered Accountant Sharad Chandra Toshniwal - an accused in the ₹792 crore Falcon Invoice Discounting scam, seeking consolidation of multiple First InformationReports (FIR) lodged against him across India.

The Enforcement Directorate (ED) had earlier arrested Toshniwal in August 2025 under the Prevention of Money Laundering Act, 2002, alleging his role in laundering proceeds of crime linked to the “Falcon Invoice Discounting Scheme.”

The scam, masterminded by one Amardeep Kumar through M/s Capital Protection Force Pvt. Ltd. and its Falcon Invoice App had duped investors by promising high returns on supposed invoice discounting operations that never existed. Funds collected from investors were allegedly routed through a maze of shell entities, with proceeds channelled into companies such as Rhett Healthcare Pvt. Ltd., Rhett Herbal Pvt. Ltd., RDP Workstations Pvt. Ltd., and Swastik Ghee Pvt. Ltd.

According to the ED, Toshniwal served as the statutory auditor since the company’s incorporation and played an active role in managing its finances and concealing illicit transactions. The agency alleges that he helped rout ₹14.81 crore through suspicious financial arrangements and cash transfers, effectively masking the source of illegal funds. Toshniwal was apprehended and produced before the Special PMLA Court on August 20, 2025 and was remanded to judicial custody before being granted bail.

In the instant case before the Supreme Court, the petitioner, represented by Syed Shahid Hussain Rizvi prayed for the clubbing of twelve FIRs registered in various States including Telangana, Maharashtra, Delhi, Rajasthan, Andhra Pradesh and West Bengal.

The petitioner contended that he had resigned from M/s Capital Protection Force Pvt. Ltd., the company at the centre of the scam, over two years before the alleged fraudulent activities began and maintained that he has not been named as an accused in any of the FIRs.

The bench comprising Chief Justice B.R. Gavai and Justices K. Vinod Chandran and N.V. Anjaria heard the matter and while agreeing to issue notice on the plea, refused to grant interim protection from coercive action at this stage.

The bench also issued notice instead on his application seeking protection and listing the matter for further hearing after four weeks.

Earlier in July, the ED had also arrested Sandeep Kumar, brother of Amardeep Kumar, for his role in handling proceeds of crime worth ₹4.85 crore, allegedly diverted into companies controlled by the accused. The agency has attached assets worth ₹18.14 crore, including immovable properties and a private jet reportedly purchased using investor money.

The latest Supreme Court proceedings mark the first significant judicial development since Toshniwal’s arrest and bail, as he now seeks procedural consolidation of the multiple criminal cases pending across States arising out of the same ₹792 crore fraud. The matter is scheduled for further hearing after four weeks.

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