New Delhi, Jan 2 (PTI) The Enforcement Directorate on Friday said it has made a second arrest in connection with the digital arrest linked money laundering investigation related to noted Ludhiana-based industrialist S P Oswal.
Arpit Rathore, who played a “significant” role in not only in the digital arrest of Oswal but also in several other cybercrimes and frauds targeting innocent people, was taken into custody on December 31 from Kanpur after the agency carried out searches at his premises.
The agency seized some digital devices and Rs 14 lakh in cash during the action.
A special Prevention of Money Laundering Act (PMLA) in Jalandhar sent Rathore to ED custody till January 5, the agency said in a statement.
The agency had made the first arrest in this case on December 23 after it took into custody Rumi Kalita from Assam. She is currently in ED custody.
The money laundering case stems from a Ludhiana Police FIR.
Oswal, the chairman of the Vardhman Group, was put under digital arrest in August, 2023 by fraudsters who impersonated as officers of the Central Bureau of Investigation (CBI) and “extorted” Rs 7 crore from him, the agencies said.
“Rathore maintained contact with foreign associates to carry out these crimes, aiding foreign nationals by providing mule accounts and facilitating the transfer of illegal proceeds to foreign jurisdictions.
“In return, these foreign nationals compensated Rathore and obtained details about the mule accounts to help move cybercrime profits abroad,” the ED alleged.
The agency claimed Rathore received his share of the “criminal proceeds” in the form of USDT cryptocurrency and Indian rupees.
The same group, according to the ED, defrauded Rs 1.73 crore from others through digital arrest and other cyber fraud scams.
Digital arrest is the name given to the cyber crime instance where criminals impersonate police/investigating agency officers and extort money from the victims threatening them with consequences of arrest or prosecution.
The government has cautioned that digital arrests are not legal in India and people who encounter such a crime should immediately take help of local police and contact the national cyber crime helpline number 1930. PTI NES DV DV
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