ED arrests Rose Valley chief Gautam Kundu in money laundering, ponzi scheme

Enforcement Directorate on Wednesday arrested Chairman of Rose Valley group of companies Gautam Kundu in money laundering and ponzi scheme scam case in Kolkata.

Last Updated: Mar 25, 2015, 20:59 PM IST

Kolkata: Enforcement Directorate on Wednesday arrested Chairman of Rose Valley group of companies Gautam Kundu in money laundering and ponzi scheme scam case in Kolkata.

According to reports, the Rose Valley group had raised at least Rs 10,000 crore under a so-called time-share scheme.

Kundu was called for questioning today for the time here and was grilled for six hours before being arrested.

Reports say that the group claims the deposits collected under the scheme were to be redeemed on maturity in form of accommodation in their hotels.

However, the ED official claim that the scheme was just an eye-wash and the group promised repayment in cash on maturity, adding that they have enough proof back it.