Mumbai: The economic offences wing (EOW) that is probing a cheating case registered against QNet, froze the marketing firm’s six bank accounts that had a balance of Rs 46 crore, said Rajvardhan Sinha, additional commissioner of police.
On August 16, the EOW registered a cheating case against the company and its office-bearers. “We have asked the firm to submit all documents. Some office-bearers have approached the sessions court
for anticipatory bail,” Sinha said.
Meanwhile, Bandrabased advertiser Manjunath Hegde, who was arrested for cheating in the case, has been sent to judicial custody. “More than 50 complainants have approached us in this case. Our teams will go to Bangalore and Chennai again to arrest suspects,” Sinha said. The EOW is probing the marketing firm for allegedly duping thousands of investors by selling them plastic and glass products, terming them miraculous objects that can treat diseases like cancer, said the police.
Investigators said that the company posed as a marketing firm that would sell biodiscs, watches, chiPendants, gold coins, herbal products, eeducation packages, holiday packages, etc. “They even claimed that one can cure cancer and brain-related diseases by using the bio-disc,” said an officer.
Ajay Chanam, spokesperson for QNET in India, said, “In the absence of a clear legislation and regulatory framework, the Prize Chits and Money Circulation Schemes (Banning) Act 1978 has been invariably invoked to seize accounts of the company even while the matter is only in the initial phases of police investigation. We have not been convicted in any court in India or around the world and are operational in over 80 countries with offices in around 23 countries.”
The Times of India, August 29, 2013