Kerala Court Restores Rs 65 Crore in Ponzi Scheme Assets
In a significant development, a special court in Kerala ordered the return of Rs 65 crore in assets to victims of a widespread Ponzi scam by the Popular Group. This move follows the Enforcement Department's investigation under the Prevention of Money Laundering Act and signals progress towards justice for defrauded depositors.
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A special PMLA court in Kerala has taken a major step by ordering the restitution of assets worth Rs 65 crore to the victims of a Ponzi scam that ravaged the state some years ago. The scam, involving Popular Group of companies, tricked numerous depositors, involving figures like Thomas Daniel and Rinu Mariam Thomas.
In September 2020, following a Kerala Police FIR, the Enforcement Department (ED) launched an investigation under the Prevention of Money Laundering Act (PMLA). The ED subsequently attached assets totaling Rs 65.07 crore. The state's competent authority, under the Banning of Unregulated Deposit Schemes Act, approached the special PMLA court for asset restoration as directed by the Kerala High Court in 2024.
With no objections from the ED, the court's decision will facilitate restitution, aiding victims like banks and depositors. The BUDS authority, set to handle asset distribution, still faces outstanding objections from the accused. The properties will be handed over to the district collector of Ernakulam, assisting the Kerala Home Department's continued proceedings.
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