Connect with us

Corruption

Torres Fraud Whistleblower: CA Approaches Bombay High Court Seeking Police Protection Over Safety Fears

Published

on

Torres, a company operating six showrooms in Mumbai and nearby regions, is at the center of a massive controversy for allegedly defrauding over 1.25 lakh investors of nearly Rs 1,000 crore.

Reports suggest the company had ambitious plans to expand to 400 showrooms nationwide, including in Gujarat, Chennai, and Bengaluru, as revealed by one of three alleged whistleblowers.

Whistleblower Alleges Irregularities

Advocate Vivek Tiwari, representing Torres’s Chartered Accountant Abhishekh Gupta, stated that Gupta was informed by foreign nationals associated with the company about their plans to expand operations. They reportedly avoided hiring celebrities for promotion, citing high costs, preferring to use those funds to attract investors.

Gupta, however, raised concerns over the company’s non-compliance with Indian laws, including tax regulations. He conducted an internal audit and submitted a report highlighting significant financial irregularities to the management of Platinum Hern Pvt Ltd, the entity running Torres.

[Nominate a Whistleblower]

Threats and Bribery Allegations

According to Tiwari, Gupta was pressured to address the discrepancies and offered Rs 5 crore to “fix the issues.” When he refused, he was allegedly threatened by the accused on January 2. Fearing for his safety, Gupta approached the Bombay High Court seeking police protection.

Claims of Whistleblowing

Torres CEO Mohamed Reyaz, also wanted in the case, has claimed to be a whistleblower along with Gupta and director Sarvesh Surve. Reyaz stated that the trio collected evidence over three months, compiling a 154-page report submitted to the Mumbai police and Economic Offences Wing (EOW). However, Torres has accused Reyaz and Gupta of orchestrating the fraud and influencing employees to commit the crimes.

Allegations Against an Aide

Advocate Tiwari revealed that Gupta shared the audit findings with Lakshmi Yadav, who is in custody for allegedly aiding the masterminds of the scam. Yadav, entrusted with renting office spaces for Torres in the Mumbai Metropolitan Region, reportedly earned Rs 5,000 for her role. On December 30, 2024, a distressed Yadav wrote to the Mumbai and Thane police commissioners, seeking intervention in the alleged fraud.

 The Unfolding of the Scam

Torres allegedly lured investors with schemes offering exorbitant returns, including up to 500% annual interest. Initially, investors received regular payouts, but the company began defaulting in late December 2024.

Registrations Open for FutureCrime Summit 2025: India’s Largest Conference on Technology-Driven Crime

On January 6, thousands of investors protested outside Torres showrooms in Dadar, Mira Road, and APMC Navi Mumbai after payments ceased. The Shivaji police registered a First Information Report (FIR) the same day, citing Rs 13.48 crore in fraud involving 66 investors. The scale of the scam is believed to exceed Rs 1,000 crore, affecting over 1.25 lakh individuals.

Investigation and Arrests

The case has since been transferred to the Mumbai police EOW, with additional FIRs filed by the Navghar police in Mira Bhayandar, Rabodi police in Thane, and APMC police in Navi Mumbai.

Authorities have arrested several individuals, including Torres’s general manager Taniya Xasatova alias Tazagul Karaxanovna Xasatova, director Sarvesh Ashok Surve, and store in-charge Valentina Ganesh Kumar. The Mira Bhayandar Vasai Virar police have also detained Lakshmi Yadav, supervisor Nitit Lakhwani, and manager Kaiser Khalid Sheikh.

As investigations continue, the full extent of the alleged fraud and its impact on investors remains under scrutiny.

Follow The420.in on

 TelegramFacebookTwitterLinkedInInstagram and YouTube

Continue Reading