The Enforcement Directorate (ED) has arrested Dinesh Singh Gujjar, State secretary of Samajwadi Party (SP) in Uttar Pradesh, in connection with the “Bike Bot scam” case, and taken him into its custody till July 26.
The agency, which also conducted searches on Mr. Gujjar’s Noida premises, is conducting the money laundering probe on the basis of multiple First Information Reports (FIR) registered by the U.P. Police following complaints lodged by investors alleging that they had been cheated by Garvit Innovative Promoters Limited (GIPL), Sanjay Bhati, and other persons.
According to the ED, its investigation revealed that in 2017, Mr. Bhati and others had floated a lucrative investment scheme in the name of “Bike Bot”. The scheme provided that a customer could invest in motorcycles, which would be maintained and operated by the company as two-wheeler taxis. In return, the investors would be paid a monthly rental, Equated Monthly Instalments (EMI), and bonus in case of investment in multiple motorcycles.
The funds so collected were rotated in a fashion akin to a Ponzi scheme and ultimately used in the creation of assets in the name of the company and other persons.
“The ED investigation revealed that Dinesh Singh Gujjar used his network to locate beneficiaries of the proceeds of crime generated through ‘Bike Bot scam’ and by flouting his relations with the ED officials, cast pressure or enticement on his victims to extract money which, directly or indirectly, was a part of the proceeds of crime,” the agency said in a statement on Monday.
