A special court recently issued non-bailable warrants against four people, including three Ukrainian nationals, in a financial fraud case related to the Torres scam worth around INR 177 crore.
Special Court Judge R. B. Rote also commented while issuing the non-bailable warrant that this is a serious economic crime that affects the socio-economic status of the society. The court also said in its order that there are allegations of financial misappropriation involving criminal proceeds of about INR 177 crore and that many investors have suffered losses due to the actions of the accused.
The Enforcement Directorate (ED) lawyers had sought issuance of non-bailable warrants against the absconding accused Sagar Mehta as well as Ukrainian nationals Alexander Zapichenko, Olena Stoyan and Victoria Kovalenko. Mehta helped collect the proceeds of the crime and fled India on December 28, 2024. According to the ED, Mehta did not cooperate with the investigation or respond to the summons, however, his father informed him that he was in Dubai. Zapichenko and Stoyan were the main masterminds behind the financial fraud committed by Platinum Hearn. The ED told the court that they converted unaccounted cash into cryptocurrencies and re-presented this amount as a legitimate investment. Taking cognizance of the ED's arguments, the court issued non-bailable arrest warrants against all four accused.
What is the case?
A company called Platinum Hern, under the Torres Jewelry brand name, defrauded customers by collecting cash in exchange for the sale of diamonds and other jewelry. Similarly, the accused are accused of sending the cash through hawala and later converting it into counterfeit currency, instead of using it for legitimate business purposes.
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