Rs 114.52 crore Ponzi scam: ED files PMLA case against Metalloids Technologies, directors

Hyderabad: The Directorate of Enforcement has filed a PMLA prosecution case against M/s Metalloids Technologies Pvt. Ltd. and its directors, Jayant Biswas and Mousumi Biswas, for allegedly running an unauthorised Ponzi-style investment scheme that duped over 4,000 investors of Rs 114.52 crore.

The Special Court at Rangareddy took cognisance on January 28, 2026.

The ED initiated its investigation following several FIRs registered by Telangana Police under Section 420 of the IPC against MTPL and its promoters for cheating investors by promising high returns. Similar complaints from investors across other states led to additional FIRs, widening the scope of the probe.

Investigators found that MTPL did not have the mandatory Reserve Bank of India permissions to run deposit or investment schemes. Though incorporated for trading metallurgical and metal welding products, the company was allegedly converted into a shell entity to mobilise public deposits through fictitious, high-return plans without any genuine underlying business.

According to the ED, the promoters lured investors with unrealistic returns ranging from 40% to 200% over short periods. Early payouts were allegedly made using funds from new investors, typical of a Ponzi structure.

The agency said MTPL collected over Rs 114.52 crore from more than 4,000 investors. While about Rs 99.57 crore was returned, Rs 14.95 crore was allegedly retained by the accused.

The company also charged non-refundable registration fees of Rs 2,222 per ID (and multiples), issued misleading agreements disclaiming liability, and accepted deposits without any productive activity as claimed in its Memorandum of Association.

To create a façade of legitimacy, MTPL allegedly conducted aggressive marketing, printed brochures, video presentations and motivational seminars at luxury hotels.

Commission agents, team leaders and early investors were rewarded to spur further inflows. Payments reportedly stopped when new investments slowed, triggering panic among depositors.

The ED said the proceeds of crime were diverted for promotional events, travel, investments in other ventures, SO Vacations, Samarin Coffee House and M/s Arthkranti Beed Nidhi Ltd, as well as the purchase of two flats in Kolkata and fixed deposits in the name of Mousumi Biswas’s mother.

Earlier, the ED provisionally attached movable and immovable assets worth Rs 1.32 crore under Provisional Attachment Order No. 28/HYZO/2025 dated April 30, 2025. The case will now proceed before the Special PMLA Court.