The Supreme Court has directed the Economic Offences Wing (EoW) of the Mumbai Police and market regulator SEBI to file status reports in the alleged Rs 7,500 crore ponzi scheme, which defrauded 18-20 lakh investors.

A bench headed by Justice L. Nageswara Rao and comprising Justices B.R. Gavai and B.V. Nagarathna, in an order, said: “The EOW is directed to file a status report within a period of four weeks from today. Further, SEBI is directed to respond to the suggestions made by the learned amicus curiae as to the course of action which it proposes to take, in case, SEBI (CIS) Regulations, 1999 are applicable, including the manner of distribution of money that is secured by the sale of properties belonging to the companies.”

According to a note – circulated by amicus curiae and senior advocate Shyam Divan and advocate Vipin Nair — Royal Twinkle Star Club Ltd (RTSCL) and Citrus Check Inn Ltd (CCIL) were part of the Mirah Group of Companies, of which Om Prakash Goenka was the Chairman.

The RTSCL and the CCIL came under the scanner for operating a ponzi scheme by which they lured innocent investors into investment schemes by promising very high returns.

“Between 18-20 lakh investors invested their money in the Corporate Debtors’ investment schemes. An amount of approximately Rs 7,500 crore was collected. However, most of the investors never received the returns promised to them. The money invested was…

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