Bullion firm proprietor held in fictitious payment case

Hyderabad: One more proprietor of a bullion firm has been arrested in the case of generating fictitious advance payment receipts for depositing unaccounted money in banks after demonetisation, police said today.

The accused, Pawan Agarwal, is the owner of M/s Sri Balaji Gold situated at Abids, a police release said.

Agarwal conspired with accused Nitin Gupta and others of Musaddilal Gems and Jewellers Pvt Ltd and other firms, and hatched a plan to convert huge unaccounted amounts into white, it said.

Accordingly, Agarwal along with others deposited Rs 37 crore in Mussaddilal Gems. From there, they diverted the money into the two accounts of Sri Balaji Gold. Later, the same was diverted to other accounts of bullion dealers and gold was purchased, it said.

Police have so far arrested Kailash Chand Gupta (in December last) and Nikhil Gupta, both directors of Musaddilal Jewellers, and Musaddilal Gems and Jewellers Director Nitin Gupta besides Neel Sunder Tharad, the proprietor of M/s Astha Lakshmi Gold Bullion in connection with a case where fake advance payment receipts were generated for converting black money of over Rs 110 crore into white post-demonetisation.

Nitin and Nikhil are sons of Kailash Chand.

All the accused got fictitious advance payment receipts generated in names of Musaddilal Gems, Vaishnavi Bullion and other firms and diverted funds to other accounts for purchase of gold, police had earlier said.