Shine City Scam: ₹60,000 Crore Fraud Under Scanner, Probe Agencies Yet to Uncover Full Extent
Shine City Scam: The Shine City scam is estimated to exceed ₹60,000 crore. However, during the investigation so far, agencies like the ED (Enforcement Directorate), EOW (Economic Offences Wing), and SFIO (Serious Fraud Investigation Office) have only managed to trace irregularities worth ₹1,100 crore.
The primary focus of these agencies remains on land-related dealings, whereas land disputes account for only a small percentage of this massive scam. The core of this dark saga lies in various schemes launched within the finance sector, where agencies appear to be groping in the dark. It is through these very tactics that the group’s mastermind and fugitive, Rashid Naseem, is accused of embezzling thousands of crores from investors.
EOW and ED Under Scrutiny
In the Shine Join Forex Trading (SJFX) scheme, investors were lured with promises of weekly returns by investing solely in dollars. By creating an app on MetaTrader, thousands of crores were allegedly earned through what resembled insider trading. For this purpose, Rashid’s company, Shine Join FX Ltd., was registered at 71-75 Shelton Street, Covent Garden, London. It is said that Rashid even purchased this London building. Notably, the company of Mehul Choksi, the mastermind behind the PNB scam, was also registered at this same address.
While SFIO, EOW, and ED are responsible for this investigation, and Rashid was previously arrested in Nepal in connection with this case, the master-scammer later fled to Dubai. Investigative agencies have come up empty-handed regarding the Forex trading scam. The next scheme is the PIP Plan, where investors were looted under the guise of booking plots in various districts with promises of multi-fold returns after one year.
Projects like Forex Trading, PIP Plan and SVC Left in Limbo
According to sources, in Dausa, Rajasthan alone, billions of rupees were swallowed by booking 58,000 plots. A massive number of plots were booked through similar schemes in over a dozen cities across states including UP, MP, Rajasthan, and Assam. Sources claim the project funds were diverted to Kingston Buildcon, a company owned by Amitabh Srivastava, a former director of the group. The racket also involved providing luxury cars at lower prices using the embezzled money.
Next comes the cryptocurrency launched under the name SVC (Shine V Coin). Massive earnings were collected from investors through this, yet the ED failed to dig deep during its money laundering probe. A similar situation persists with the Get the Victory Coin (GDVC) project. These finance sector schemes are accused of generating thousands of crores in black money.
The true “scandalous story” of the Shine City scam seems entirely missing from the ED-EOW investigation. Furthermore, there are allegations that lands and assets related to the company’s ongoing projects in cities like Agra, Raebareli, Jhansi, and Mathura have not been seized. To date, the ED has seized assets worth only over ₹200 crore. Collectively, the investigation into UP’s largest scam appears to be moving at a sluggish pace.
“168 Bank Accounts Reported, Why Investigating Only 35?”: SN Srivastava
Senior Advocate SN Srivastava, who is fighting the legal battle for the defrauded investors, states that the ED-EOW investigated only 35 accounts across three banks. While the agencies reported 168 bank accounts to the court showing transactions of ₹1,086 crore, only 35 were scrutinized. He argues that this indicates the scam is not being investigated correctly. Despite providing full details of the finance-related projects to the ED during the initial stages, the probe was not conducted properly.
ED’s “Leniency” Toward Former Company Directors
The ED reportedly spared several directors of Shine City who had been arrested by the EOW, keeping them away from detailed investigation and further arrest. Their properties were also not seized during the money laundering probe. This list includes names such as Chamanlal Diwakar, Vinay Singh, Wasim, and Durga Prasad.
