Observing that the case was a financial napalm, which may have eaten up the entire life savings of the sick and poor, a Delhi court denied bail to nine men accused of defrauding over five crore investors across the country with a Ponzi scheme.
The court was hearing proceedings for a case registered by the CBI in 2014 which was investigated following orders from the Supreme court. The Promoters and Directors of M/s. PGF Limited and M/s. PACL Limited were accused of operating “investment schemes to induce the investors to part with their funds with a view to cheat them”.
The probe agency stated that the accused persons collected funds from investors under the promise of allotment of agricultural land which was not owned by the company.
Special Judge Sanjeev Aggarwal, in his order passed on February 9, stated that this Ponzi scheme alleged to the tune of Rs 45,000 to Rs 60,000 crore, which duped 5 crore investors across the country, “is in the nature of a financial napalm bomb, more explosive, incendiary and more devastating in its sinister effects, as it may have eaten up the entire life savings, invested with blood, sweat and tears of a poor labourer, pensioner, sick and poor, in the process shattering the dreams and aspirations of their dependent ones.”
The court had noted that after filing the main chargesheet, the agency filed a supplementary chargesheet after a gap of six years.
“It is trite that financial scams of such magnitude would require days,…
