In India’s largest investment frauds, the Enforcement Directorate has attached 30 overseas assets worth ₹54.32 crore in connection with the ₹4,500 crore Pancard Club scam. The properties span Thailand, UAE, and the USA, and were allegedly acquired using laundered public funds by Panoramic Universal Ltd and its now-deceased promoter, Sudhir Moravekar.
From Discount Schemes to a National Swindle
The Pancard Club saga reads like a blueprint for white-collar deception. Between 1997 and 2017, Mumbai-based Pan Card Ltd (PCL) amassed deposits from nearly 50 lakh investors, enticing them with promises of hotel discounts, accidental insurance, and guaranteed returns—without registering with SEBI or RBI.
According to the Mumbai Police’s Economic Offences Wing (EOW), the company collected over ₹5,000 crore through these unauthorized investment schemes but failed to repay the majority of investors. The fraud came to light when victims filed complaints, triggering criminal proceedings and a money laundering investigation by the ED.
The schemes, which operated under the pretense of hospitality-linked benefits, were actually elaborate Ponzi-style offerings. The funds were rotated and siphoned off to sister companies, primarily Panoramic Universal Ltd (PUL), and to personal accounts of promoter Sudhir Moravekar and his family members.
Assets Across Borders: Thailand, UAE, USA, and Beyond
In its latest action, the ED provisionally attached 30 overseas assets purchased using laundered funds—22 properties in Thailand, 6 in the UAE, and 2 in the United States. These assets were held under the names of PUL’s overseas subsidiaries and linked directly to Moravekar.
The total outlay for acquiring these assets was ₹54.32 crore, spread between 2002 and 2015. The ED also uncovered remittances totaling ₹100 crore routed to countries like Singapore, New Zealand, and the USA through Overseas Direct Investments (ODIs)—many of which violated RBI regulations and remained unreported.
Of particular concern is a hotel property in New Zealand, bought by PUL and later sold quietly, with the subsidiary dissolved without informing the Reserve Bank of India. A similar pattern of acquisition, concealment, and planned liquidation is evident in the USA and UAE, where Moravekar’s sons were allegedly attempting to sell off properties.
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MLAT Process Begins, Recovery Hopes Rekindled
While the assets are located abroad, ED plans to invoke provisions under the Mutual Legal Assistance Treaty (MLAT)to ensure recovery and repatriation. This involves formal diplomatic requests to foreign jurisdictions, seeking cooperation in confiscating or freezing illegally acquired assets.
“Though the accused is deceased, the proceeds of crime were clearly diverted to overseas fronts and family-linked entities. ED is pursuing all legal avenues to recover and bring back the public’s money,” the agency noted in its statement.
