The Directorate of Enforcement (ED) has conducted extensive searches in Tamil Nadu, Kerala, and Srinagar in connection with an alleged money laundering case arising from online investment fraud and fake work-from-home schemes. According to the agency, the searches were conducted on July 10 and 11 under the Prevention of Money Laundering Act (PMLA) at 19 locations, including 16 in Tamil Nadu, two in Kerala, and one in Srinagar. The investigation stems from two cybercrime cases registered by the Tamil Nadu and Telangana Police.
According to the ED, the accused allegedly lured victims into investing through fraudulent online investment platforms and fake work-from-home schemes by promising high returns and attractive commissions. Investigators claim that unsuspecting victims transferred nearly ₹14.95 crore into bank accounts allegedly controlled by the accused.
The agency alleges that the fraud proceeds were subsequently routed through multiple mule bank accounts and shell companies before being converted into cryptocurrency and transferred through several digital wallets to disguise the origin of the funds. The ED has identified Roshan Fiaz as one of the principal individuals allegedly involved in laundering the proceeds of crime. However, the allegations against him remain subject to judicial scrutiny.
According to investigators, Roshan Fiaz and his associates allegedly operated numerous bank accounts in their own names, in his wife’s name, and through multiple business entities. The ED claims that several beneficiary bank accounts were opened shortly before receiving the fraudulent funds and were closed after the money had been transferred elsewhere, indicating an alleged attempt to obscure the money trail.
The investigation further alleges that ₹80,000 from the proceeds of crime in one of the FIRs was transferred to the bank account of R.K. Electrical, an entity allegedly linked to Roshan Fiaz. In another case, investigators claim that more than ₹45 lakh was transferred from the bank account of a co-accused to Roshan Fiaz. The agency is examining these financial transactions and the role of the associated business entities as part of the ongoing probe.
During the searches, the ED seized several incriminating documents, digital devices, laptops, mobile phones, bank records, company incorporation documents, and records relating to alleged shell companies. Investigators also secured details of cryptocurrency wallets and virtual digital assets, which are expected to assist in tracing the movement of the suspected proceeds of crime.
According to the agency, cryptocurrency assets worth approximately ₹3.35 crore and cash amounting to ₹14.50 lakh were seized during the operation. In addition, bank accounts holding more than ₹40 lakh were frozen. The ED stated that forensic examination of digital evidence, banking records, and cryptocurrency transactions is continuing to establish the complete money trail and identify any additional individuals or entities involved.
Renowned cybercrime expert and former IPS officer Prof. Triveni Singh said cyber-enabled investment and work-from-home frauds increasingly rely on mule accounts, shell companies, and cryptocurrency to layer and conceal illicit funds. He noted that digital forensics, financial transaction analysis, blockchain tracing, and coordinated investigations among enforcement agencies are critical to identifying the proceeds of crime, dismantling laundering networks, and strengthening prosecution in complex financial fraud cases.
The ED said the investigation remains ongoing, and further action will depend on the evidence gathered during the course of the probe. All allegations are subject to judicial determination, and the guilt or innocence of the accused will ultimately be decided by the competent court.
