The Enforcement Directorate has moved to secure assets linked to a major illegal deposit case after issuing a Provisional Attachment Order on December 15, 2025. The action was taken by the Kolkata Zonal Office under the Prevention of Money Laundering Act, 2002, against the Prayag Group of Companies and its directors. The probe stems from a criminal case registered and charge sheet filed by the Central Bureau of Investigation under the Indian Penal Code, 1860, and the Prize Chits and Money Circulation Schemes Banning Act, 1978, over allegations of unauthorised mobilisation of public deposits.
Investigators found that the Prayag Group, mainly through Prayag Infotech Hi Rise Ltd and Prayag Infotech Network Pvt Ltd, illegally collected ₹2,863 crore from 38,71,674 depositors. Investors were promised high and assured returns despite the schemes lacking approval from the Reserve Bank of India and the Securities and Exchange Board of India. As of March 31, 2016, unpaid depositor dues stood at ₹1,906 crore excluding interest, leading to heavy losses for investors across several states.
The investigation revealed that the funds were not used for genuine business activity. Instead, the group ran a Ponzi type operation where money from new investors was used to pay earlier ones. Large amounts were diverted for buying land, investing in hotels and hospitality projects, developing film city ventures, taking over companies, paying agent commissions, spending heavily on advertisements and celebrity endorsements, and for personal enrichment of promoters and their family members.
The ED established that directors Basudeb Bagchi, Avik Bagchi and Swapna Bagchi personally benefited from the proceeds of crime through salaries, remuneration, property purchases in their own names, free share allotments, and fund transfers to related entities. Based on these findings, assets worth ₹110 crore have been provisionally attached. This includes 450.42 acres of land with superstructures valued at about ₹104 crore across West Bengal, Bihar and Assam, and personal properties worth ₹6 crore held by the directors. A prosecution complaint has been filed before the PMLA Special Court, Basudeb Bagchi and Avik Bagchi are in judicial custody, and further investigation and attachments are expected as agencies trace remaining illicit funds.
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