Kanpur, May 7 (PTI) A suspected mastermind behind a sprawling network of fake firms, forged documents and suspected hawala transactions worth over Rs 3,200 crore has been arrested in Uttar Pradesh’s Kanpur district, police said on Thursday.
The accused, Mehfooz Ali alias Pappu Chhuri, was arrested by a joint team of Chakeri police, cyber cell and surveillance units following an investigation that began with a robbery case in the city’s Shyam Nagar area earlier this year.
According to police, the probe was launched after two cash carriers were allegedly robbed by motorcycle-borne assailants on February 16. Though no FIR was initially lodged by the victims, police took suo motu cognisance of the incident and later arrested six accused while recovering nearly Rs 11 lakh in cash.
During the investigation, police allegedly uncovered a large network of shell companies linked to Ali, a resident of Jajmau engaged in the scrap and meat trade. Police suspect the robbery victims were carrying cash on his behalf.
Kanpur Police Commissioner Raghubir Lal told PTI that forged documents and identities of poor and unsuspecting individuals were allegedly used to create fake firms, obtain GST registrations and open bank accounts across multiple states.
“The accused and his associates lured people with promises of loans, insurance schemes and financial assistance. They collected Aadhaar and PAN details and used them to operate bogus companies and route massive financial transactions,” Lal said.
Police said a complaint was filed a fortnight ago by painter Nikhil Kumar, who alleged that a fake SIM card and GST registration had been issued in his name to create a firm called Ravi Enterprises. Transactions worth Rs 7.75 crore allegedly passed through the account within six months.
Investigators have also identified several other suspected shell firms, including Maa Vindhyavasini Enterprises, Aarti Enterprises, Raja Enterprises and Afifa Enterprises, through which crores of rupees were allegedly routed. In one case alone, transactions are estimated to be around Rs 146 crore.
Police officials said labourers, painters, scrap workers and daily wage earners were allegedly used as fronts for the fake firms without their knowledge.
In one instance, a woman earning daily wages allegedly discovered that transactions worth nearly Rs 100 crore had been routed through a company registered in her name. In another case, a scrap dealer’s documents were allegedly used for transactions worth Rs 21 crore.
According to police, more than 100 bank accounts across 16 banks are under scrutiny.
“We suspect the money was routed through hawala channels and linked to GST fraud as well as scrap and meat businesses,” Lal said.
He added that the alleged network has links extending to Delhi, Punjab, Himachal Pradesh, and West Bengal.
Police said agencies, including the Enforcement Directorate, the Income Tax Department, and the Reserve Bank of India, are also expected to join the investigation.
Officials said a possible terror-funding angle is also being examined, though the probe is still at a preliminary stage.
A police officer, requesting anonymity, said Ali had allegedly been absconding for nearly two months and was believed to be hiding in Kolkata before being tracked down after returning to Kanpur.
Police said at least five cases have been registered against the accused so far, and further investigation is underway. PTI COR KIS RHL
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