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eBIZ Scam | Police Busted Multi-level Marketing Fraud Worth Rs 1000 Crore | Hyderabad

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The Cyberabad police in Hyderabad on Tuesday busted a multi-level marketing scam worth Rs 1,000 crore involving a Noida-based company eBiz.com Private Ltd , arrested ta man who allegedly ran it and froze its bank deposits worth more than Rs 70 crore.

Cyberabad police commissioner V C Sajjannar told reporters that the company had duped more than seven lakh people across the country. “We have arrested Hitik Malhan (31), who looks after the company activities and are on the lookout for his parents Pavan Malhan, managing director of the company and Anita Malhan, its director,” he said.

The police booked cases against the accused under Sections 406, 420 and 506 of Indian Penal Code and also under other sections of Prize Chits and Money Circulation Schemes (Banning) Act of 1978.

Sajjannar said the promoters attracted mostly students, women and retired persons luring them with easy means of making money. Each person would join paying Rs 16,821. Each member would in turn, had to enrol more members who would be part of the chain. After paying the money the new comer would get some products/e-learning courses/holiday package and the promoter got commission. 



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