Dubious dealings: Multi-state scam has deep roots in Pune, Pimpri-Chinchwad

The group’s website mentions that it was established in 2002, “has business interests that spread across a wide spectrum of verticals, and a presence in more than a hundred cities spanning the length and breadth of the country.” The website states that the business groups works in real estate, media, infrastructure, energy, hospitality and foods. Investigators are probing the financial deals of the the group that operated from six states – Maharashtra, Madhya Pradesh, Uttar Pradesh, Rajashthan, Delhi and Goa.

Bhapkar was arrested by the EOW following a complaint lodged by Ankit Bhansali, assistant general manager with the Securities and Exchanges Board of India (SEBI), against the directors and office-bearers of Sai Prasad Properties Ltd in Goa, Sai Prasad Foods Limited, Pune. The role of nine other subsidiary companies are also under the scanner. An offence in this case was lodged at BKC police station, Mumbai, under sections of the Prize Chits and Money Circulation (Banning) Act and the Maharashtra Protection of Interest of Depositors Act.

Before the arrest, the EOW teams raided 30 places, including 27 offices and three residential premises, belonging to the business group and its office bearers in six states. It includes five places from Pune and Pimpri Chinchwad.

The Sai Prasad Foods Limited , a prime property of the business group, is in Chinchwad. The website states that Sai Prasad Food was launched in 2002 and is ISO certified. Also, as per the website, the business group has projects including residential and commercial complexes in Pune city and Pimpri Chinchwad, a manufacturing unit in Bhosari. It also plans for five-star hotel in Shirdi. In 2011, the group had also launched a news channel.

Earlier, five complaints have been registered against Bhapkar by the CBI, and Madhya Pradesh, Rajasthan and Chattisgarh police in the past. In September this year, Bhapkar’s wife, Vandana, who is also a director of the company. was arrested by the Chhattisgarh police for alleged multi-crore scam. Bhapkar and his son Shashank are also wanted by the Chhattisgarh police. At least eight cases are reportedly registered against them at different police stations in Chhattisgarh. Police said that searches are on few more officials.

Probe by EOW, Mumbai police, revealed that Bhapkar’s firms allegedly attracted investments by offering lucrative returns between 12 per cent and 18 per cent per annum and promised plots of land as surety in spite of not owning sufficient land. Bhapkar’s firms also provided lucrative options such as 500 square feet parcel of lands to those who invested Rs 1,200 a month. The firms had a staff and agents who collected money on daily, monthly and one time payment basis, that ranged between Rs 50 and Rs 10 lakh. The agents operated in about 200 locations in different states.

The EOW has identified and frozen 192 accounts in 15 different banks belonging to Bhapkar’s firm. Officials are now in the process of identifying properties owned by the accused and have found 56 agricultural and commercial properties totaling 1,600 acres. Most of the land, he said, is owned in Pune, Ratnagiri, and Ahmednagar, said a senior official.