Shivanand Neelannavar in 12-day ED custody over 2100cr ponzi scheme
Big news: Shivanand Neelannavar, the prime accused in the case concerning Shivam Associates, has landed in 12-day Enforcement Directorate (ED) custody after being accused of running an over ₹2,100 crore Ponzi scheme.
He allegedly promised sky-high returns to thousands without any approval from the Reserve Bank of India or the Securities and Exchange Board of India, leaving investors in the lurch.
New deposits paid old investors
Turns out, funds collected from people across Maharashtra, Chhattisgarh, and Goa were reportedly funneled into real estate, films, and fisheries, none of which were authorized.
New deposits were used to pay off old investors, while losses were hidden.
The ED is now tracing where all that money ended up and who else might be involved.
Belagavi police arrested Shivanand Neelannavar
Neelannavar was arrested by the Belagavi police earlier under money-laundering charges.
Authorities have already seized assets from Shivam Associates and its directors.
The probe is ongoing as officials dig deeper into how this massive scam unfolded.