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The Enforcement Directorate has arrested Avinash Arjun Rathod, the key figure behind APS Wealth Ventures LLP, in connection with an alleged investment fraud where nearly Rs 89 crore belonging to investors remains unpaid. Rathod was taken into custody on November 2 under the Prevention of Money Laundering Act following an inquiry into the suspected diversion of public funds collected under high-yield schemes. A special court in Mumbai subsequently remanded him to the agency’s custody until November 4, allowing investigators to trace the transaction trail and examine the participation of other associates and related entities.
The money laundering case stems from a First Information Report filed at Chaturshrungi police station in Pune against Rathod and his associates. The police complaint stated that investors were lured into putting their savings into APS Wealth Ventures LLP and associated firms with assurances of regular and lucrative payouts. The matter was subsequently handed over to the Economic Offences Wing in Pune to examine the suspected financial irregularities, while the federal agency initiated its money laundering investigation to identify and seize the proceeds of crime.
Assured Monthly Payout Schemes Draw Hundreds of Depositors
Under the promotional terms scrutinized by investigators, depositors were assured a monthly return of around 5 per cent as profit, alongside an additional 5 per cent repayment of their principal over 20 months. Lured by the prospect of guaranteed monthly earnings and complete principal recovery, about 587 investors placed approximately Rs 157 crore into these arrangements.
However, around Rs 89 crore was allegedly never returned to the depositors, forming the core focus of the current financial probe. The agency’s ongoing inquiry aims to establish how funds pooled from hundreds of people were systematically siphoned away rather than disbursed in accordance with the commitments made to investors.
Money Layered Across Commercial and Personal Accounts
Investigators have found that Rathod held roughly 90 per cent ownership in APS Wealth Ventures LLP and maintained primary operational control over its daily affairs, major financial decisions, and banking operations. Funds collected from investors were allegedly routed across a network of bank accounts operated by APS Wealth Ventures LLP and associated entities, including APS Smart Gain LLP.
Scrutiny of financial statements and banking data indicated substantial transfers among these corporate accounts, along with transactions involving Rathod’s personal bank accounts. Investigators noted that capital was moved to various individuals and channeled into securities. The agency is currently reviewing these transactions to establish the ultimate destination of the money, determine the final beneficiaries, and assess whether funds were utilized for purposes entirely unrelated to the promised schemes.
Probe Focuses on Asset Tracing and Overseas Operations
The investigation has also extended abroad following reports that Rathod and his wife departed India for Dubai in April 2023. Investigators are probing allegations that Rathod subsequently floated similar assured-return plans in Dubai through Wealthpro Investment Consultant LLC, an overseas firm under his ownership. The agency is currently examining whether any money collected from depositors in India was transferred abroad to support these operations, while also reviewing the financial records and ownership details of the Dubai company.
During custodial questioning, the agency is working to reconstruct the complete money trail and locate properties or financial assets acquired using the proceeds of crime. Officers are continuing to analyze the corporate links, bank ledgers, and transactions of persons associated with Rathod to identify everyone who assisted in moving the capital. Further investigation into the matter remains underway.
