The Special PMLA Court in Hyderabad has granted the Enforcement Directorate (ED) three days’ custody of Sandeep Kumar in connection with the ₹792 crore fraud allegedly orchestrated by Hyderabad-based Capital Protection Force Pvt. Ltd. and its director Amardeep Kumar.
Sandeep Kumar was arrested by the ED on July 31, 2025 under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, as part of an ongoing probe into alleged financial crimes involving the company, its director Amardeep Kumar, and others. He was initially produced before the court on August 1 and remanded to judicial custody for 14 days before the ED sought his interrogation.
The investigation stems from three FIRs registered by the Economic Offences Wing (EOW) of Cyberabad police, which accused the company and its associates of duping investors with promises of high returns.
According to the ED, Amardeep Kumar masterminded the Falcon invoice discounting scheme, attracting investments under the pretext of funding invoice discounting and offering returns based on the discounted invoices. However, investigators found no evidence of legitimate invoice discounting and alleged that investors were defrauded of approximately ₹792 crore.
The ED said the proceeds of crime were channelled into equity shares of several companies, loans, the purchase of an aircraft, high-value casino spending, and real estate acquisitions in the names of Amardeep Kumar and his family members. Of these proceeds, about ₹4.85 crore was allegedly transferred to Sandeep Kumar’s bank account. Officials said he played an active role in managing companies owned and controlled by his brother and served as a director in M/s Falcon Capital Ventures Pvt. Ltd. and M/s Swastik Ghee Pvt. Ltd., which together received ₹5.74 crore in illicit funds. The money was allegedly used for business operations and to purchase immovable properties.
The ED has already attached assets worth ₹18.14 crore in the case, including properties valued at ₹7.65 crore linked to Sandeep Kumar. Further investigation is under way.
Published – August 12, 2025 08:24 pm IST
