The ED case of money laundering was filed on the basis of a March 2018 FIR of the Bengaluru Police.
Police claimed that “partners and other associates of Vikram Investments like Raghavendra Srinath, K P Narasimhamurthy, M Prahlada, K C Nagaraj and Sutram Suresh cheated the general public by luring them to invest in Vikram Investments, promising high returns under the guise of commodity trading”.
“The modus operandi adopted by the company was that they were involved in collecting investments from customers under the guise of commodity trading offering huge returns to the extent of up to 30-35 per cent per annum,” the ED said in a statement.
The firm was not registered with any of the regulatory agencies including the Reserve Bank of India, it said.
“They ensured that customers would get back their first instalment as promised. This earned them trust and they lured customers to invest even more after which the company would stop paying them back money, including the principal…