Agri Gold scam: ED restores assets worth Rs 611 crore to victims, total crosses Rs 3,950 crore

Hyderabad: The Directorate of Enforcement (ED), Hyderabad Zonal Office, has restored properties worth Rs 611 crore (at the time of attachment) to victims of the Agri Gold Ponzi scam. The current market value of these assets is estimated to be over Rs 1,000 crore.

The restitution follows an order passed by the Special PMLA Court in Hyderabad on June 10, which allowed the ED’s application filed under Section 8(8) of the Prevention of Money Laundering Act (PMLA), 2002.

The court directed the release of movable and immovable properties also attached by Andhra Pradesh CID so that they could be distributed to victims under the Andhra Pradesh Protection of Depositors of Financial Establishments (APPDFE) Act, 1999.

Total restitution crosses Rs 3,950 crore

With this latest round, the total value of properties restored to victims in the Agri Gold case now stands at Rs 3,950 crore. The estimated market value of all the recovered assets is over Rs 7,000 crore. In February 2025, ED had previously restored properties worth Rs 3,339 crore.

Scope of assets restored

The properties approved for restitution include 397 immovable assets, such as agricultural land, residential plots, commercial spaces, and apartments. Of these, 380 are in Andhra Pradesh, 13 in Telangana and four in Karnataka.

What is the scam about?

The ED began investigating the Agri Gold group in 2018 based on FIRs filed in Andhra Pradesh, Telangana, Karnataka, Odisha and the Andaman and Nicobar Islands.

The group allegedly ran a fraudulent collective investment scheme under the guise of a real estate business, raising deposits from nearly 19 lakh customers and 32 lakh accounts.

Over 130 shell companies were floated to collect money from the public as ‘advances for plots,’ even though the company did not possess sufficient land. The funds were later diverted into unrelated sectors like power, dairy, entertainment, health and agriculture ventures, all without informing investors.

In total, the group is believed to have mobilised around Rs 6,380 crore through this fraudulent scheme.

Legal action

As part of the PMLA investigation, the ED attached properties worth around Rs 4,141.2 crore. Arrested key accused including Avva Venkata Rama Rao, Avva Venkata Seshu Narayana Rao, and Avva Hema Sundara Vara Prasad in December 2020 filed a Prosecution Complaint in February 2021 against 14 accused, secured court cognisance on August 29, 2023, filed a supplementary complaint in March 2024 against 22 additional accused, with court cognisance granted on November 4, 2024.

Major step in investor relief

This restitution marks one of the most significant recoveries in a financial fraud case involving public money, reflecting the ED’s sustained efforts to return Proceeds of Crime to victims and enforce accountability in economic offences.