Multi-Level Marketing Scam Catches Up With Dupester
State native held for swindling over Rs 100 Cr
Source: The Sangai Express / TNN

New Delhi, December 11 2012: Delhi Police's special cell has arrested a native of Imphal, Manipur for duping thousands of people through a multilevel marketing scam with promises of high returns.

Ningombam Raju alias Raju Singh allegedly cheated more than 23,000 people of approximately Rs 100 crore in the last few years by promising to treble their investments.

Raju was arrested on Sunday by a team of inspectors Sanjay Dutt, Rahul Kumar and Dharmender following a request from the police superintendent of Imphal.

Manipur Police had information that Raju was hiding near the Uttar Pradesh-Delhi border.

Raju came to Delhi in 1995 and worked with a photocopier firm in Daryaganj.

He went back to Manipur in 1999 and worked there as a service agent for photocopier machines before returning to Delhi in 2004."Between 2004 and 2009, he worked as a service agent and also sold walkie talkie phones.

In 2009, he started working at a multilevel marketing company, BBS (Base Business System) Marketing Limited in Paschim Vihar.

The company was owned by Irom Satish, a Manipur resident, who fled after cheating many people.

Raju learnt the working of multilevel marketing and decided to start his own venture," said DCP, special cell, Sanjeev Yadav.

"Raju joined LPC (Lala Prem Chand) Multilevel Marketing Company at Kakrola More, Uttam Nagar which was owned by brothers Vinod and Balbir Bagga and dealt in induction cookers.

He then moved to Welkin Real Tech Pvt Ltd, owned by Kishanveer and managed by Parveen Thora from Najafgarh.

Later, the Bagga brothers joined Welkin and started cheating people with Raju.

They also managed a website for this company with the link globalwinindex.biz," said Yadav.

"The accused used to lure people by offering to treble an initial deposit of Rs 10,000 in three months.

The company also offered other schemes for shorter durations.

Members received 10% of the deposit made by the new investors introduced by them.

The joining fee was fixed as Rs 1,500, and a member could invest up to Rs 10 lakh on one ID.

The company claimed the money was being invested in real estate and stocks," said special commissioner of police, SN Srivastava.

Raju played a pivotal role in luring many Manipuris into investing in this bogus company.

"In February 2011, Welkin Real Tech Pvt Ltd closed down after collecting massive amounts.

Kishan Veer and the Bagga brothers started a new company.

At the time of the closure, they had over 23,000 members/subscribers.

Raju went underground for some time, only to resurface in April 2012 at a house in Noida, where he started another business of supplying solar lanterns/inverters," said Yadav.

Of late, police claimed, Raju was planning to start another marketing company in association with a man named D K Bajpai.

The accused reportedly obtained an arms licence and a Walther pistol in 2010.He later sold this gun and bought an Erma Werke revolver.

He also bought a plot at Kakrola More, Uttam Nagar and another property in Jeevan Park, Uttam Nagar.

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