The Enforcement Directorate (ED) has frozen stock market shares worth ₹1100 crore in connection with the Mahadev app scam.
The Scam Unveiled
The ED’s investigation into the Mahadev Online Book app case revealed that multiple dummy accounts and false bank entries were used to invest ₹1100 crore in the Indian stock market. After this new revelation, the ED decided to freeze these shares until the investigation concludes.
The Accused
One of the accused in the case, Suraj Chokhani, diverted funds worth ₹432 crore through a betting website called Skyexchange into the stock market. This was done shortly after his arrest. Chokhani was identified as one of the main associates of Hari Shankar Tibrewal, who is suspected to have laundered secret proceeds from the app under the guise of stock investments.
The Modus Operandi
The duo has been accused of converting cash received from the hawala channel into fake bank entries, eventually investing the money in the stock market. It was revealed during the probe that Chokhani used eight private companies to purchase these shares. He was also the director of these eight firms.
The Investigation Continues
The ED investigation revealed that Mahadev Online Book provides online platforms for illegal betting in different live games like Poker, Card games, Chance games, betting on cricket, badminton, tennis, football etc, and also provide facility for playing a number of card games like TEEN PATTI, Poker, Dragon Tiger, and more.