Enforcement Directorate (ED) has registered a money laundering case in connection with the alleged Rs. 425 crore financial fraud involving multi-level marketing firm QNet in which the name of former world billiards champion Michael Ferreira has cropped up.
Besides Ferreira, actor Boman Irani’s son Danesh is also under the scanner in the alleged QNet scam. The Economic Offences Wing (EOW) of the Mumbai police has already questioned Ferreira and Danesh.
The Mumbai office of ED has registered the case under the Prevention of Money laundering Act (PMLA) after taking cognisance of the EOW FIR filed in this case, official sources said.
The case has cross-border ramifications of monetary transactions and hence the agency has been brought in to probe this angle, they said.
The investigative agency may soon issue summons to all the accused in the case, they said.
The EOW has so far arrested nine team leaders of QNet for allegedly duping investors of crores of rupees by offering to sell products like magnetic disks, herbal products and holiday schemes through alleged fraudulent practices.
QNet has also been accused of using the banned binary pyramid business model for their multi-level marketing (MLM) schemes to entice investors. Investigating agencies have in the recent past keeping a watch on such cases across the country.
The accused in this case have been charged with cheating and forgery under relevant sections of the Prize, Chits and Money Circulation Schemes (Banning) Act 1978 and the ED probe will now focus on alleged money laundering.
Both Ferreira and Danesh along with QNet have denied any wrongdoing on their part in this case.