ED seizes Cash and Jewellery of Rs. 1.60 Crore from Search Operations in Shine City Fraud Case

The Directorate of Enforcement (ED) has conducted search operations under the provisions of the Prevention of Money Laundering Act (PMLA), 2002 at 18 locations in Lucknow, Varanasi, Allahabad, Mumbai, and Delhi on 24-11-2023, in the case of Shine City Fraud.

The searches were carried out at the homes of agents who had worked with Shine City to entice investors and aid in the generating of criminal earnings. Searches were also performed at the homes and offices of directors and businesses to whom large sums of criminal proceeds were transferred in the guise of investment and advances by Rasheed Naseem, the main accused, and the Shine City group of companies.

Search operations resulted in the recovery and seizure of several digital devices, incriminating documents pertaining to the ongoing involvement of some individuals in the act of money laundering, immovable properties, unaccounted cash, and jewellery worth Rs.1.60 Crore (cash worth Rs. 95 lakhs, jewellery worth Rs. 65 lakhs).

The ED launched an investigation based on approximately 250 FIRs filed by the Uttar Pradesh Police against Rasheed Naseem and the Shine City Group of Companies, wherein they had collected huge amount of money approximately Rs. 800-1000 Crore from the public in the name of investment and committed fraud.

ED investigation revealed there were many agents who have worked and have been working for Shine City to lure the investors and helped Rasheed Naseem and Shine City in generation of the proceeds of crime.

The investigation by the ED also discovered that the profits of criminality were moved to a number of other businesses and people. The search yielded damning evidence revealing the role of one Mrs. Shashi Bala in actively supporting Rasheed Naseem in concealing and laundering the profits of crime.

She was Rasheed Naseem’s confidante and was in daily contact with him and clients via Whatsapp messaging App was and was consistently involved in money laundering till the time of the search.

ED investigation till now has resulted in attachment of properties worth Rs.128 Crore. The main accused Rasheed Naseem is absconding.

ED has arrested Mrs Shashi Bala on 25-11-2023 and subsequently, she was produced before the Special Judge (SPE/CBI) (Special Court for PMLA Cases), Lucknow, Uttar Pradesh on 25.11.2023. The Hon’ble Court has granted ED custody for 6 days till 30.11.2023.

Further investigation is under progress.