Biswapriya Giri, the owner-director of URO Group, a chit fund entity, has been arrested by the Enforcement Directorate (ED) on charges of money laundering. The arrest is related to allegations of duping investors through multi-level marketing schemes, amounting to approximately Rs 1,500 crore. Giri had previously been arrested in February 2015 by the Bidhannagar City Police in connection with the chit fund bubble burst in West Bengal.
ED sleuths summoned Giri for questioning on Sunday and subsequently arrested him on Monday morning after a lengthy interrogation. The agency is expected to present him at a special court under the Prevention of Money Laundering Act (PMLA) in Kolkata for further custody and investigation.
The URO Group was accused of collecting significant funds from investors under various schemes promising high returns, which were never delivered. Giri’s association with influential politicians and endorsements from senior leaders of the ruling party in the state have also come under scrutiny.