In a major development, the Economic Offences Wing (EOW) of Odisha has exposed a significant Ponzi scheme orchestrated by “Yes World Crypto Token.” Sandeep Choudhary, the Country Head of the dubious venture, was apprehended at Jaipur International Airport while attempting to flee to Dubai.
Investigation and Arrest
Following a complaint by Swagat Kumar Nayak from Puri, a case was registered on October 16 under various sections of the Indian Penal Code and anti-fraud legislation. Choudhary, a native of Rajasthan, faced charges related to cheating and orchestrating a money circulation scheme. The EOW issued a Look Out Circular (LOC) fearing his escape from the country. On November 15, Choudhary was intercepted at Jaipur International Airport, leading to his detention and subsequent arrest by the EOW team.
Scope of the Scam
The investigation revealed that “Yes World” was operating an extensive Ponzi scheme under the guise of a Crypto Coin or Token. The fraudulent enterprise lacked any substantial business presence on the ground and relied solely on a Pyramid Ponzi scheme. With more than 8,000 investors in Odisha alone and approximately 2.5 lakh members across northern India, the estimated money involved in the scam exceeds Rs. 200 crore.
“Yes World” enticed investors with promises of exorbitant returns within a short period, operating purely on recruiting new members. The scheme preyed on the initial gains received by members, compelling them to bring in more participants into the pyramid structure.
Choudhary and up-line members Basant Kumar Pradhan and Manoj Kumar Patnaik were arrested on November 16. The trio faces charges under various legal provisions and will be produced before the Hon’ble OPID Court in Cuttack, Odisha.
As authorities delve into the extensive network of the Ponzi scheme, the arrest marks a significant step towards dismantling the fraudulent operation.