Full text of Police interrogation....Gopal Shekawat

Full text of police interrogation of Gopal Mohan Singh Shekawat released by the police:

INTERROGATION REPORT OF GOPAL MOHAN SINGH SHEKAWAT S/O MOHANSINGH SHEKHAWAT, 47 YEARS, RAJPUT BY CASTE, SURAT, GUJARAT STATE (A-2) (C.M.D OF NMART RETAILS PRIVATE LIMITED)  IN CR.NO. 154/2012 U/S 406,420 IPC AND SEC. 4,5 & 6  R/W 3 OF THE PRIZE   CHIT  AND MONEY CIRCULATION  SCHEMES (BANNING) ACT SEC.5 OF THE A.P. PROTECTION OF DEPOSITORS  OF FINANCIAL ESTABLISHMENTS ACT, 1999 OF KANDUKUR TOWN POLICE STATION.

1^ST DAY

Date : 12-05-2013 at 10 A.M                                    Place : Sub-Divnl. Police Office,

                                                                                     Kandukur.

               I am the native of Sikar Rajastan, Purohitjeekidhani, Radhakishanpura, Sikar District, Rajastan  State.  I have completed  SSC in Rajastan State.  In the year 1986 I have reached Bombay, Boriville and started working along with my friend Arjuna Kumar Varma who is a building contractor started work up to 1988. My friend had given an opportunity to develop contract works and I have taken my routine expenses from him only.   While I was in Mumbai, I have completed graduation B.com through correspondence course.  In the year 1988, I had transferred to Bahindar and started labour contracts by residing in Bahindar East until that labour contract was completed upto 1992. I have lost my father in the year 1990.  I got love marriage with one Prathibha Shekawat in the year 1991.  In the year 1992 I have started my business i.e., export of garments  and importing like coils and iron steel as indenting agent from the different companies. In the year 1995 I will start import of computer parts and I have used to purchase the computer  parts from Hongkong and used to sold in India.  In the year 1997 electronic goods markets is going to down, subsequently  import business is going to stop and I have changed my business to  iron and steel trading like beam, channels and  bars took from the company and sold to the builders and local traders ON  commission basis.  In the year 1999 myself started business at Dubai intending to purchase and sale some items from Dubai and other countries for trading based business and  went to Dubai along with my family i.e., wife for trading business.  In the year 2001, I returned to India and started Garment business. But I have not succeeded in the business. In the year 2002 I have changed my family to Surat and started to  work in Gujarat by taking sick industry, demolishing the industries and sell the  same up to 2005.  After 2005 that scrap business market is going  down, nobody  purchased the scraps.  In the year 2006-2007, I have started business i.e., purchase and sale of building to the corporate companies so that I can earn good money.  This is not continuous business and I have faced so many problems in that business. Then we have decided to establish continuity of the business and decided to get the knowledge in retail business and started to gain some knowledge. I have started a retail shopping mall business in the year 2008 and bought one company by name New Look multi Trade Private Limited, Surat.  Before that Reena Dargar and Vijaya Dargar are directors of the company and promoters also.  Then we have took company from them of my two friends i.e., one Chandra Prakash Lakshak and one Mr. Dharmendra Ram Swaroop Anand.  The company was registered in Mumbai in the year 2008 and I have changed share holding of the company and changed the  directors also.  I have entered into company on 2009 by holding authorized capital of Rs. 01,00,000/-. In the year, 2010     I have got Chandra Prakash retired from the company and appointed Deepak Shekawat (my brother) in my company and after some time Deepak Shekawat was retired and put Mohammed Salim Khan as one of the Director by holding some shares and now he is now continuing in the company. New look multi Trade Company name was changed  to New look retails Private limited in the year 2010 and Nmart is brand name is a division of New look multi trade Private limited. The New look multi trade company initially established in Mumbai and registered in the Registrar Companies, Mumbai. On 03-06-2009 1^st  shopping mall was started like a super market at Surat.  Nmart scheme was started on 26-01-2010 by consulting  Bharat Handifrod who is having knowledge of making soft ware and they will came into contact with Samirdesh PandeHa,  I have introduced the scheme with the help of two persons.  In that scheme I have introduced a incentive that  if a person wants to join in the scheme he would have to  pay Rs. 5,500/- and gets broucher, Bond, 48 purchase coupons and two Registration forms will be sent to the member to enroll as a  member of Nmart retails Pvt. Limited.  In that scheme I have also introduced incentives  and Rewards to attract the customers more to  develop  the business.  There are as many as 16,50,000/- customers were joined as members  in my company after opening  of company till today and we have 287 mall shops and out them 146 are running in throughout India and the remaining are under construction and total Rs. 907 Crores of Rupees was collected from the customers.  I have given about 370 crores  of  rupees    as commission to our members and dependent business associates, around 170 crores was given  for rewards and around 300 crores of rupees purchase material was given through coupons, around 47 crores of rupees was sanctioned to the customers to attend credit facility.  Around 2 lakh members were joined in the company throughout Andhra Pradesh and collected 110 crores of advances from the customers.  About 60 crores of rupees was paid to the members as commission amount, Purchase brouchers, rewards.  New look airways was established in the year 2011 and one Mandar Barde and Hiren Diwani are the directors of the company, they have took Rs. 01,72,40,000/- loan from Nmart company to purchase helicopter on 17-08-2011 and the money was transferred from Axis Bank, Surat to New Look Airways Private limited, Mumbai.   I have also established a company by name and style of Nmart infrastructure, Surat in a building which is situated at Honeypark road, Dazzle Arcade, Surat and the company is  looking after the sale, purchase of lands and buildings. I am also the director of the Nmart infrastructure, Surat  company and Prathibha shekavath also one of the director of this company and after some time she had retired and now Salim Khan is looking after entire business and finance as per my directions. 

2^ND DAY

Date : 13-05-2013 at 10 A.M            

                                                                                         

                         Today I continued further examination on Gopal Mohan Singh Shekhawat in presence of above Mediators Mediators:-            Then I have given the following questionnaire to Shekhawat.

1)      Have you enrolled members from the area where there are no malls?

Ans : Yes, after enrolling 500 to 1000, we planned to establish malls.

2)      But if the voucher is generated, it is to be renewed within 30 days.  How can we except a member living at distant area all over come to mall and purchase. It was not mentioned in agreement that he can used after wards.

Ans : He can utilize the same balance voucher after establishment of mall.

3)      It was not mentioned in the agreement that he can use after wards.

Ans : I think it is also there in Agreement.

4)      After enrolling members after receipt of Rs. 5,500/- you are going to provide suit lengths worth Rs. 3,000/- to the members.

Ans : Yes.

5)      What if member is a woman?

Ans If they accept, we are giving suit length we are planning saris also.

6)      What is the purchasing cost of suit length?

Ans : We purchase from company and the cost of suit length is Rs. 1675/- and the other Rs. 300/- is for postal charges and Rs. 100/- for packing and handling charges and the remaining amount is with company.

7)      Who is the Franchiser of Nmart retails at Kandukur, Guntur and Vijayawada?

Ans : Mutcheli Umamaheswarao is the Franchiser of Kandukur Nmart retails shop. He had paid Rs. 5,00,000/-  to my company and opened a shopping mall in Kandukur. At Vijayawada no Franchiser to Nmart retails shop and Manager State operating head by name Shaffi has been operating the retails shop. At Guntur there is no Franchiser and Manager has been operation and I don’t know the name of the Manager.   

8)       What is the benefit the franchiser will get after joining as Franchiser of the company?

Ans :The franchiser will get 18% interest  till Franchisee is with him and 2% incentives basing on the turn over and his responsibility to maintain the administration of Nmart retail shops.

9)      What is number of customers in Kandukur Area and How much money was collected from the customers in Kandukur area?

Ans : There approximate 10,000 members were enrolled as members in Kandukur area and about Rs. 01,10,00,000/- was collected as Advance from the customers. We have giving 42 to 50% commissions.

10)  As per the auditor’s report the profit for the year 2010-2011 is                        Rs. 68,03,577-00 and during the year 2011-2012 the company get profit for Rs. 5.73 crores? Is it true or not?

Ans: Yes.

11)  In the auditor’s report, it was shown the amount sales through promotional scheme and other sales. What is meaning of the sales?

Ans : It is suit length and credit for Rs. 1500/- as per my knowledge.

12)  What is the total enrollment of members in your company through India?

Ans. 16,50,000 members and collected Rs. 907.50 lakhs Crores.

13)  During which period the deposits were collected?

Ans : 31 months from January, 2010 (upto August 2013).

14)  What the workable calculation is of provisions that to be supplied to the malls?

Ans: We purchase in wholesale price in average margine of 30-35% between sale and purchase.  If a person purchases Rs.1000/- from my shop and the original purchase cost is Rs.700+gift voucher Rs.220/-.  Rs. 80/- profit from the members only and the same price of cost will be sold to the other customers.

15)  What is the total enrollment of members in Andhra Pradesh?

Ans: 2,00,000 members are joined in the company and collected 110 crores of Rupees.

16)  How many shops were opened in Andhra Pradesh?

Ans : 14 shops are running ie., Vijayawada, Visakhapatnam, Kakinada, Thirupathi, Kandukur, Guntur, Hyderabad, Miriyalaguda, Medak and others  and 16 are under constructions.

17)   You think that the scheme will be maintainable in future, is there any difficulties faced by you. Before launching the scheme, you have to get permission from RBI according to the RBI rules?

Ans : It is not a deposit, recurring deposit, it is that membership enrolled scheme develop my retailed mall chain. As per my knowledge, there is no need to register in RBI.

18)  Your scheme is chain link system, you have proposed it as Multi Level marketing, and as per the provision of law this may comes under Prize chit fund money circulation act (Banning 1978)?

Ans : In the year 2003 one notification passed by the Govt. of India, consumer affairs that order copy is available with me. Those company selling in retails goods, materials by way of direct marketing, multilevel marketing.  Multi level and direct marketing in MLM (Multi level marketing) that company it will comes into Prize company chit fund act.

19)  Where did you have conducted meetings in Andhra Pradesh?

Ans : Myself I have conducted meetings in Hyderabad, Vijayawada, Thirupathi, Guntur, Kadapa, Kakinada, Visakhapatnam etc.

20)  Where did  the agents will collect the rewards and where they are purchasing?

Ans : Only in Big malls i.e., Vijayawada, Thirupathi, Hyderabad, Visakhapatnam etc.

21)  In the auditor’s report it was  shown that during the financial year 2010-2011 and 2011-12 Franchiser deposit as Rs. 06,25,84,378/- and                    Rs. 21,09,12,614-00 total Rs. 27,34,96,992/- respectively? This amount will add in the customers deposit. How my shops are functioning in India?

Ans : No, this amount was not added to customers deposit. Now the company has closed all the shops expect six at Surat, Meeraz of Maharastra, Chikodi of Karnata and Bhopal of Madhyapradesh and Howra of Kalacutta.

22)  How you have taken the company from Reena Dargar and how much amount paid to him?

Ans : When a New company would have been started, it may take 6 or 7 months time and I have paid Rs. 50,000/- to Reena Dargar.

23)   You have purchased helicopter from the profit of the company and from where it was purchased and the age of the helicopter?

24)  Ans : Yes I have purchased the helicopter from the profits in the year 2011 from one Genak owner of Chpper Robinson-III Helicopter.

25)  According to the auditor’s report in the year 2011 you have given advance amount for property W/Rs. 01,37,18,826/- to six properties? Did you purchase all these properties or not?

Ans : Yes, Out of 6 properties

(1)   I have given advance for shop in Surat i.e., from Ghambhir and paid Rs. 2,77,826/- as an advance but the Bank loan amount with the Goutham Gambhir in that property. Still is pending.

(2)   I have given Rs. 56,70,000/- for Kandavilli Flat No. 2405 (House for my residence) at Mumbai from Builder, Butwill of Mumbai and it was completed and it was registered in my name and my wife’s name.

(3)   I have given Rs. 25,88,000/- (Behind of Sona Hotel, Surat ) to buy simple apartment for my staff members  and it was registered in the name of either Salim Khan or in the name of the company.

(4)   I have purchased one Flat from Jayshreeben Mehta at Surat and paid an advance for Rs. 06,85,000/-  and it was sold it to another party for          1 lakh profit.

All the properties are purchased from the customers who enrolled in the company.

All the properties are in the name Nmart retails except Item No. 1 is in the name of myself through cheques. 

26)  According to the auditor’s report in the year 2012 you have given advance amount for property W/Rs. 08,80,10,480/- to Eleven properties? Did you purchase all these properties or not?

Ans : Yes, Out of 11 properties

(1)   Advance Ware House at Kuvarda nearby Ankleswar, Surat  from the farmers i.e., Chaghan Bhaipatel, Kuvarda : I have given Rs. 02,30,62,00/- as an advance, Part payment is yet to be given to the owner of the land.

(2)   East Africa Automotive Pvt., Near ONGC Colony, Surat Survey No. 15  belongs to Surekha Dilip Natwani : I have given Rs. 03,00,00,000/-as an advance. Only purchase contract was done, but the party is having dispute in the  court.  Hence, it is pending.

(3)   I have purchased one Plat from Prasanth Babu, Surat (open land) to an extent of approximately 500 – 1000 yards to a tune of Rs. 89,03,480/- as an advance.  The deal was cancelled since they have not given clear clarification.

(4)   I have purchased one Disha Mall, Aurangabad from one Dilip Parekh who is owner of the property) and paid Advance Rs. 25,00,000/- (Disha is the area and mall is meant by Nmart shop) and the mall cost is Rs. 01,00,00,000/- as an advance and it is under process.

(5)   I have purchased Rainbow Flying Club Pvt. Limited, Surat belongs to Captain Nayum and Bharatsing who are owners of the Rainbow flying club and  paid Rs. 10,00,000/- as an advance which is situated near Airport. The deal was cancelled.

(6)   I have purchased a Ready shop for establishing a Restaurant by name Swastic House (Ground floor and basement)  and Purchased the same  to a tune of Rs. 06,00,00,000/- and got registered the same from Mr. Anil Patel and Bharat Singh  to an extent of 12000 sq. feet

(7)   I have given Rs. 8,00,000/- to Unit Publication advertising agency. I am not remember that one.

(8)   I have given Rs. 51,52,000/- as advance to one Surya complex flat but the deal was cancelled as the plot is sold away to another party and thus I have reback my amount from the  concerned.

(9)   I have given advance Rs. 56,70,000/- to purchase a small Office located in Andheri Mumbai that payment was done from IC IC Bank, Surat and the building is under construction.

                                                                                                                       All the properties are in the name Nmart retails except Item No. 1 is in the name of myself through cheques. 

27)  Who is Pratibha Ben Shekhavat?

Ans: My wife.

28)  Your wife had taken loan for Rs. 3,46,71,452/- as loan amount? For what purpose?

Ans : To purchase properties in Surat and somewhere?

29)  Yourwife had also taken Rs. 18,96,578/- for what purpose?

Ans : I don’t know.

30)  You have launched a loyalty bonus of above minimum Rs. 11,000/- after completion of 48 months or above? Is it possible to repay the amount to all customers after completion of 48 months?

Ans : Yes, it is possible.  I have make one agreement between customer and company with conditions that every customer has purchase of Rs. 72,000/-.  Then they are liable to take the Loyalty bonus.

31)  How it is possible?

Ans : Because if I have sold my goods for Rs. 72,000/- to any customer then my profit is about 35%.

32)  What are the value of properties you are owning?

Ans : About 80 to 90 crores.

33)  Is the fast growth company was possible due to obtain deposits from customers and investing the same in the business?

Ans :Yes.

34)  From Kandukur who are beneficiaries of your scheme and also who took active part in joining New customers?

Ans : 1) Kareti Venkateswarlu 2) Challa Srinivas  3) M. Umamaheswarao.

3^RD DAY

Date : 14-05-2013     

            My advocate at Bombay is Ashok Sarovgi.  After getting transit bail there, the advocate misled me.  He asked me not go to court to appear.  But he could not get any bail from court.  After wards I stayed along with my family at Bombay in my flat – 2405, Vishnu Shivam apartment, Tagoore Village, Kandivalli East , Bombay for about 1 ½ month.  I went to Rajasthan and stayed in Jaipur in my friend Sunil Bhatwara’s farm house.  It is situated at Trunk road.  My friend is a diamond merchant.  During my stay at Jaipur my wife, children, mother, younger brother were with me.  I stayed there for 2 to 3 months and after wards came back to Surat for getting treatment to my wife.  

                        In some cases I could get bail, but in all the cases of Prakasam district all bails were cancelled.  I fed up with my Bombay advocate.   To give moral support to my wife I decided to stay back at Surat.  I also asked my staff to continue malls without scheme because scheme is not permitted by law as it is nothing but money circulation. 

                        The editor Manoj Mistry of Gujarat Guardian , news daily is my friend.  I also gave ads to that paper.  About 20 lakhs amount was paid to that paper.  At the time of cricket matches for advertisement, I arranged 2 to 3 ad boards twice in ground.  For that he paid 2 to 3 lakhs for each board to Rajesh Bai Desai of Simphony ad agency, Surat. 

                        N Mart marketing and enrolment business started in 2010 January.  Before 2010 the total worth of my property was about 25 cores.  Now it would be about 80 to 90 cores.  All this I got through N Mart Business.

Thieves want legitimization of their racketeering

THIS IS THE LETTER ADDRESSED TO THE RACKETEERS ALL OVER COUNTRY TO ASSEMBLE AND BRING PRESSURE ON THE GOVERNMENT FOR LEGITIMIZATION OF THE RACKETEERING. THESE RACKETEERS HAVE BEEN BRAZENLY ASKING THE GOVERNMENT TO SHIELD THEM.
NEXT TIME, THE BURGLARS ALSO FORM AN ASSOCIATION AND DEMAND THAT THE POLICE SHOULD NOT CATCH THEM AFTER THEY BURGLED THE HOUSES.
THIS IS THE STATE OF AFFAIRS IN INDIA.

	Dear Sir(s), As you are aware that Direct Selling Distributors Welfare Association (DSDWA) was launched as FDSA affiliate to strengthen our struggle and to provide a shield to all Direct Selling Distributors (DSDs). Enrollment of DSDs in DSDWA is another major task of DSDWA for strength demonstration. We are pleased to announce that DSDWA has started the job and data has started pouring in. All information is available on www.dsdwa.org Recently we are finding lot of turbulence in Bengal which is likely to hit us very badly, if we do not act swiftly. The government is not able to segregate the genuine direct sale from such schemes. As we have seen many a times (sic), the government looks at us in the outfit of schemes. On 24th April 2013 Mr. Sachin Pilot submitted a list of illegal MLM schemes. Please go through the link http://fdsaindia.org/pdf/Pilot-submits-list-of-illegal-MLM-schemes-BusinessLine.pdfonly to find that none of these companies are MLM or Direct Selling Companies but are being referred to as MLM. We are in danger zone today. We would appreciate if you and your key leaders visit the link http://fdsaindia.org/media.aspx and become aware of the alarming situation. We have been raising our voice at many a forums.(sic) Finding meek response from the authorities and discriminative (sic) attitude towards Indian companies we are left with no option but to demonstrate our strength. DSDWA has declared a gathering of DSDs at Jantar Mantar on May 7, 2013 as announced in www.dsdwa.org This is a take off stage of our mission and has to see foolproof success for Industry’s survival. Your physical presence is mandatory to participate our first & historical public gathering, and be responsible to propagate about this gathering and bring as many as possible to make this event a big successful. I personally appeal for your support in this mass gathering. Please make sure to be present on 7 th May 2013 – Tuesday 10 AM to 5 PM. Surendra Vats President

Sachin Pilot's MLM companies list does not include Amway India

Union Minister of State for Corporate Affairs Sachin Pilot submitted the list of MLM firms illegally operating in the country. However, he did not mention the name of M/s Amway India Enterprises though the Andhra Pradesh High Court squarely held that the business model of Amway India is nothing but a money circulation scheme under provisions of the Prize Chits and Money Circulation Schemes (Banning) Act, 1978. 

4/24/13 www.thehindubusinessline.com/industry-and-economy/pilot-submits-list-of-illegal-mlm-schemes/article4647537.ece?css=print 1/4
Sachin Pilot submits list of illegal MLM schemes
Our Bureau
April 23, 2013: The Union Minister of State for Corporate affairs on March 14, 2013 presented to Lok Sabha a state-wise list of companies against which complaints were received for indulging in Ponzi/ MLM (multi-level marketing) schemes. Pilot was responding to queries raised by D B Chandre Gowda and Adhi Sankar.

WEST BENGAL
(1) M/s. Vibgyour Allied Infrastructure Ltd.
(2) M/s. Rose Valley Real Estates Constructions Ltd.
(3) M/s. Rose Valley Industries Ltd.
(4) M/s. Silver Valley Communications Ltd.
(5) M/s. Rose Valley Food Beverage Ltd.
(6) M/s. Rose Valley Marketing India Ltd.
(7) M/s. Rose Valley Infotech Pvt. Ltd.
(8) M/s. Rose Valley Hotels and Entertainments Ltd.
(9) M/s. Rose Valley Projects Ltd.
(10) M/s. Rose Valley Patrika Ltd.
(11) M/s. Rose Valley Films Ltd.
(12) M/s. Modern Investment Traders Pvt. Ltd.
(13) M/s. Rose Valley Travels Pvt. Ltd.
(14) M/s. Brand Value Communications Ltd.
(15) M/s. Rose Valley Housing Development Finance Corporation Ltd.
(16) M/s. Rose Valley Airlines Ltd.
(17) M/s. Rose Valley Fashions Ltd.
(18) M/s. Rupasi Bangla Projects India Ltd.
(19) M/s. Rupasi Bangla media and Entertainments Ltd.
(20) M/s. Rose Valley Realcom Ltd.
(21) M/s. Saradha Realty India Ltd.
(22) M/s. RTC Properties India Ltd.
(23) M/s. RTC Real Trade India Ltd.
(24) M/s. Jasoda Real Estate Ltd.
(25) M/s. Saradha Printing & Publication Pvt. Ltd.
(26) M/s. Saradha Agro Development Ltd.
(27) M/s. Saradha Biogas Production Pvt. Ltd.
(28) M/s. Saradha Tour and Travels Pvt. Ltd.
(29) M/s. Saradha Automobiles India Ltd.
(30) M/s. Saradha Constructions Company Pvt. Ltd.
(31) M/s. Saradha Shopping Mall Pvt. Ltd.
(32) M/s. Saradha Education Enterprise Ltd.
(33) M/s. Saradha Exports Ltd.
(34) M/s. Goldmine Agro Ltd.
(35) M/s. Tower Infotech Pvt. Ltd.
(36) M/s. Chakra Infrastructure Ltd.
(37) M/s. Gold Field Agro Ltd.
(38) M/s. Golden Life Agro India Ltd.
(39) M/s. Golden Pariwar Holding and Developers India Ltd.
(40) M/s. Goldmine Food Products Ltd.
(41) M/s. Hallo India Express Sales Ltd.
(42) M/s. Happy Life Realty (India) Ltd.
(43) M/s. ICore E-Service Ltd.
(44) M/s. MPS Aqua Marine Products Ltd.
(45) M/s. MPS Greenery Developers Ltd.
(46) M/s. MPS Industries & Agro Research Ltd.
(47) M/s. MPS Resorts and Hotels Ltd.
(48) M/s. Prayag Agrotech Pvt. Ltd.
(49) M/s. Prayag Infotech Hi-Rise Ltd.
(50) M/s. Prayag Infra Realtors Ltd.
(51) M/s. Prayag Micro Finance
(52) M/s. Rahul Heights Ltd.
(53) M/s. Rahul Hi-Rise Ltd.
(54) M/s. Ramel Industries Ltd.
(55) M/s. Shine India Agro Industries Ltd.
(56) M/s. Silicon Projects India Ltd.
(57) M/s. Sunshine Agro-Infra Ltd.
(58) M/s. Sunshine India Land Developers Ltd.
(59) M/s. URO Agro India Ltd.
(60) M/s. URO Autotech Ltd.
(61) M/s. URO Hotels and Resorts India Ltd.
(62) M/s. URO Hygenic Goods Ltd.
(63) M/s. URO Infotech Ltd.
(64) M/s. URO Infra Realty India Ltd.
(65) M/s. URO Life Care Ltd.
(66) M/s. URO Trexim Ltd.
(67) M/s. URO Walkers Ltd.
(68) M/s. Vasundhara Realcon Ltd.
(69) M/s. Vibgyor Allied Industries Ltd.
(70) M/s. Vishwamitra India Consultancy Services Ltd.
(71) M/s. Vishwamitra India Multi-Developers Ltd.
(72) M/s. Waris Hospital & Diagnostic Centre Ltd. (Now Waris Healthcare Ltd.)
(73) M/s. Waris Telecom Services Ltd. (Waris Tel International Ltd.)

RAJASTHAN
(1) M/s. PACL (India) Ltd.
(2) M/s. Goldsukh Trade India Ltd.

TAMIL NADU
(1) M/s Unipay 2U Marketing Pvt. Ltd.
(2) M/s Unipay Creative Business Pvt. Ltd.
(3) M/s Unipay 2U Production Pvt. Ltd.
(4) M/s. Goldquest International Pvt. Ltd.
(5) M/s. Questnet Enterprises India Pvt. Ltd.

KARNATAKA
(1) M/s Unigateway 2U Trading Pvt. Ltd.

DELHI
(1) M/s Speakasia Online Pte. (Unregistered)
(2) M/s. Basil International Ltd.
(3) M/s. Vamshi Chemicals Ltd.
(4) M/s. Appeline Cosmetics & Toiletries Ltd.
(5) M/s. Basil Express Ltd.
UTTAR PRADESH
(1) M/s. Nixcil Pharmaceuticals Specialties Ltd.

COURTESY BUSINESSLINE

Police seek custody of Gopal Shekhawat

The police of various districts where criminal cases were filed against Gopal Mohan Singh Shekhawat, the kingpin in the multi-crore scam of NMart aka New Look Retails Ltd, are seeking his custody for his interrogation. They, it seems, wanted to know as to how much money he has illegally collected from public and where did he stash the cash apart from spending on luxurious cars and a helicopter. 
Already Prakasam district police filed a petition for his custody. They may question the accused for at least three days if not a week. The Visakhapatnam police have also filed a petition for the custody of multi-crore scamster to grill him about the details of the scam.
Guntur DSP (Crime) Ravindra Babu said that they are going to file the custody petition to interrogate the accused. 
Chilakaluripet police are also ready for filing a petition seeking the custody of the accused.
However, one has to wait and watch how many more police would seek custody of the NMart chief, prime accused in the multi-crore scam.
There is already a criminal case in Kerala and the Kerala police may also want to question the accused.
Three criminal cases were filed in Aurangabad, Maharashtra, and they may also ask for custody of Gopal Shekhawat. 
Meanwhile, the CID is also preparing the list of criminal cases against the accused.
It is worth to note here, that the counsels of NMart kingpin filed a writ petition in the AP High Court soon after Prakasam district police filed the FIR against the company seeking the transfer of the case to the CID of AP. 
The motive behind the petition is well known. However, before the AP High Court heard the petition, the counsel of NMart had withdrawn the petition with the plea to submit once again. However, the NMart counsel never submitted the writ petition again in the high court.

NMART ACCUSED BROUGHT TO ONGOLE

·         Rs. 662 crore scam unearthed by Prakasam SP

Superintendent of Police Dr Kolli Raghuram Reddy here on Thursday presented Gopal Mohan Singh Shekhawat, accused in the multi-crore scam before the media.

Addressing the media, the SP said that the accused indulged in illegal money circulation scheme and collected deposits violating the provisions of AP Protection of Depositors of Financial Establishments Act, 1999.

Elaborating on the modus operandi of the accused, the SP said that Gopal Shekhawat through his company New Look Retails Pvt Ltd, collected Rs. 662 crore from 12,02,762 depositors at the rate of Rs. 5500 from each person violating the provisions of the RBI Act, 1934.

The accused gave 48 vouchers each worth Rs. 220 to encashed in the next 48 months. He also offered attractive incentives and gifts to the members.

Following a complaint lodged by a civil society organization Corporate Frauds Watch, the Kandukuru police registered a criminal case and started investigation.

The SP said that though the Kandukuru police arrested Gopal Shekhawat on August 28, 2012, the accused managed to get bail in Mumbai on the promise that he would present himself in the Ongole court on September 1, 2012. However, he jumped the bail and since then he was absconding.

In the meanwhile, the accused secured anticipatory bail from Ongole court in November, 2012, but the Andhra Pradesh High Court cancelled the anticipatory bail paving way for the arrest of the accused, he said.

The Kandukuru and Chirala police earlier arrested the other directors of the company and were sent to judicial custody.

The relentless pursuit of the accused resulted in his arrest, he said and announced rewards to Kandukuru DSP Ashok Kumar, CIs Rayapati Srinivas Rao and Venkateswara Rao and SI Bhaktavatsala Reddy.

The police seized Rs. 50 crore worth property of the accused along with two cars – Rolls Royce and Mercedes Benz – and a helicopter all worth Rs. 10 crore. The police requested the Bank authorities concerned to freeze the accounts of the accused in which there is Rs. 2.19 crore.

The SP said that the accused is also facing several criminal cases filed against him in Guntur, Chilakaluripet, Chirala, Vijayawada, Visakhapatnam and Medak in the State and Kozhikode in Kerala.

GOPAL SHEKHAWAT ARRESTED IN SURAT

Finally, the accused in the multi-crore NMart fraud, Gopal Shekhawat, was arrested by the Andhra Pradesh police in Surat on Tuesday.
The Prakasam district police headed by Dr N Raghuram Reddy, superintendent of police, finally made a headway in the investigation of the case and arrested the accused who had been evading the arrest for the last several months.
Additional Commissioner of Police (Crime) Narasimha Kumar and Deputy Inspector General of Police (SIB) VC Sajjanar contributed their efforts for the arrest of the accused
It may be recalled that Corporate Frauds Watch lodged a complaint with the Prakasam district police against the illegal money circulation scheme indulged in by NMart duping several millions of people up to several crores of rupees.
The police swung into action and arrested Gopal Shekhawat in Surat last year but he obtained bail from a Mumbai court on the promise that he would present himself in the Ongole court by September 3rd. However, he jumped the bail and since then he had been absconding.
The police also issued a lookout notice for the absconding proclaimed offender.
On April 30, the Prakasam district police arrested Gopal Shekahwat and produced him in a local court for obtaining the transit warrant to shift the accused to Ongole.
The local court has issued the transit warrant also known as PT warrant to transport him to Andhra Pradesh.
Gopal Shekhawat would be produced in the Principal Sessions Court at Ongole as soon as he is brought to Ongole. 

'MMM India,' another, unoriginal, contagious fantasy of Sergei Mavrodi.

'MMM India,' another, unoriginal, contagious fantasy of Sergei Mavrodi.

About 15 years ago, I coined the common-sense phrase: 'premeditated, or dissimulated, closed-market swindle,' in order to deconstruct all Ponzi schemes, pyramid frauds, money circulation games, chain-letter scams, etc. However, although a few commentators have used my term (sometimes without attribution), a 'closed-market swindle' is not yet defined in law. That said, it is universally accepted that lying to, or withholding key-information from, people in order to take their money, is fraud which is a form of theft. Common-sense also reveals that, by 'passing any law, but failing to enforce it, has the effect of authorizing the very crime which you are trying to prohibit.' 

The lie which is fundamental to all 'closed-market swindles' is that people can earn income by contributing their own money to participate in any alleged 'profitable commercial opportunity' which is secretly an economically-unviable fake, due to the fact that the alleged 'profitable commercial opportunity' has been rigged so that it generates no significant, or sustainable, revenue other than that deriving from its own participants. For more than 50 years, 'Multi-Level Marketing' racketeers have been allowed to dissimulate closed-market swindles by offering endless-chains of victims various banal, but grossly-over-priced, products, and/or services, in exchange for unlawful payments, on the pretext that 'MLM' products and/or services, can then be regularly re-sold for a profit in significant quantities. However, since no gang of 'MLM' racketeers has ever proved that 'MLM' wampum has actually been regularly re-sold to the general public for profit in significant quantities,'MLM' participants have, in fact, been peddled infinite shares of their own finite money.

In the final analysis, other than their ephemeral external presentations, internally there is no real difference between all closed-market swindles; for any alleged 'opportunity to make money,' wherein (when challenged, and/or rigorously investigated) the promoters are unable to provide independent quantifiable evidence to prove that their alleged 'viable commercial activity' has had any significant, and sustainable, source of revenue other than its own losing participants, is self-evidently a dissimulated closed-market swindle.


David Brear (copyright 2013)

___________________________________________________________________________________________________

Sergei Panteleevich Mavrodi
(Сергей Пантелеевич Мавроди b.1955)
http://en.wikipedia.org/wiki/Sergei_Mavrodi

If you search for Sergei Mavrodi on Wikipedia, you will find him initially described as a Russian'businessman and financier.' However, the only truthful part of this exciting comic-book story is the fact that he was born in Russia; for, in reality, he is (without a shadow of a doubt) a megalomaniacal psychopath .

 i.e. 

Sergei Panteleevich Mavrodi is suffering from a chronic mental disorder resulting in paranoid delusions of grandeur and self-righteousness, and the compulsion to pursue grandiose objectives.

Classically, Mavrodi believes himself not only to be a historically significant businessman and a financier,but also a morally, and intellectually, perfect Russian super hero who has been chosen to free humanity from the slavery of the evil world financial system. Indeed, if you watch the above video from 2011 (in which Mavrodi quite-openly admits that he is on a mission to destroy the pyramid scheme known as the world financial system and that his chosen weapon of mass-financial-destruction, is another, even more powerful, pyramid scheme), it beggars belief that he is not already locked up in a secure hospital.

In the aftermath of the unexpected fall of the Soviet regime (which left millions of ordinary Russians, particularly pensioners, facing destitution as the buying power of the once-protected rouble collapsed, and hyper-inflation took-hold) Mavrodi (an importer of office equipment) stepped-forward in the role of economic saviour and instigated what was soon to become one of the most-extensive closed-market swindles of all time, known as 'MMM.' http://en.wikipedia.org/wiki/MMM_(Ponzi_scheme) . It has been estimated that between 1992 and 1994, 30 millions ill-informed Russians were deceived into giving a total of several billions US dollars to Mavrodi and his criminal associates, in the deluded belief that they were all going to receive a future reward of 1000%. Typically, Mavrodi began to make the truth increasingly unthinkable, by using some of his ill-gotten gains to buy media advertising (including a series of humourous television commercials) as well as obtain public association with popular Russian sports, charities, celebrities and opinion-makers. 

In 1994, Mavrodi's offices were raided and he was arrested for tax evasion, but although millions of angry victims were left out out of pocket, he avoided being held to account by getting himself elected to the Russian parliament. During his election campaign Mavrodi steadfastly pretended that the Russian government was trying to destroy 'MMM' in order to steal the company's money, and that 'MMM' investors would only be paid out if he could influence the government from inside the political system. However, no pay-out was forthcoming, and Mavrodi's immunity from prosecution was cancelled in 1995. 'MMM' was finally declared bankrupt in 1997. Mavrodi then went of the run until he was arrested in 2003. During this time, he spread a rumour that he'd gone to USA. In reality, he'd probably never actually left Russia. Indeed, it is now believed that Mavrodi had been hiding in Moscow, protected by a well-rewarded gang of former Soviet intelligence agents/thugs/racketeers who had access to a labyrinth of safe-apartments.

With the help of a relative, Mavrodi instigated another closed-market swindle in 1998, this time known as 'Stock Generation.' His new scam was nothing less than an Internet-based counterfeit stock market. http://en.wikipedia.org/wiki/Stock_Generation, but it was dissimulated as a 'lawful gambling game' and was targeted at greedy Americans and W. Europeans. Largely because of its deliberately-incomprehensible linguistic, and mathematical, presentation, the essentially-simple closed-market swindle known as 'Stock Generation,' initially duped a United States District Court in Massachusetts, but it was closed-down by the United States Court of Appeals, when common-sense was finally applied in 2000. Few of Mavrodi's estimated 20 000 and 275 000 victims, complained even though they lost a estimated total of at least US$5.5 millions.

Following his arrest in Russia in 2003, Mavrodi was initially sentenced to 13 months prison for holding a false passport.  He was subsequently convicted of fraud and tax evasion, and was released from a penal colony in 2007.






Since 2011, Mavrodi has been running a closed-market swindle known as 'MMM 2011' or 'MMM India,' in which countless victims have been deceived into buying effectively-valueless pieces of paper printed to resemble an authentic, valuable currency, the so-called 'Mavro.' 



There are even 'Mavro' coins.

Amazingly, Mavrodi openly-admits that 'MMM 2011/ India' is a pyramid scam. He is widely-quoted as saying : 'It is a naked scheme, nothing more ... People interact with each other and give each other money. For no reason!' However, since Mavrodi's 'MMM' organization has exhibited the universal identifying characteristics of a cult, his activities are neither original nor unique and, consequently, they cannot be fully-understood in isolation.

http://en.wikipedia.org/wiki/Eric_Voegelin

Erich Hermann Wilhelm Voegelin (1901-1985), was a gifted German academic, who, in the decade preceding WW II (working largely-alone), produced an insightful explanation of ‘Nazism’ as a form of perverted religion or cult. Sadly, during the 1930s, few people took much notice of Eric Voegelin. 

Whilst teaching political theory and sociology at the University of Vienna, he published two books, ‘The Race Idea in Intellectual History’ and ‘Race and the State’. In these, he pointed out the elementary, mistakes which invalidated various, popular ‘racial theories’. In 1938, Voegelin (aged 37) tried to publish 'The Political Religions'. In this, he focused on contemporary totalitarian ideologies derived from the ‘racial theories’ which he’d previously criticised as absurd pseudo-science. He now pointed out the glaring structural similarities of these ideologies to religions. Courageously, Voegelin was comparing medieval pseudo-sciences and 'Gnostic' cults to the 'Völkish’ or ‘Pan-German’ movement and its terrifying post-WW I incarnation, the 'Nazi party'.

In 1938, the ‘Nazi’ leader, Adolf Hitler, had held absolute power in Germany for almost 5 years. He had just taken control of Austria. The self-gratifying ‘Aryan Master Race’ delusion was spreading like a virus. In essence, Hitler controlled his fanatical core-adherents with a  comic-book story in which he was a morally and intellectually perfect Aryan super hero, the 'führer,' on a mission to save his 'noble race' from the slavery of the world financial and political system which was controlled by an 'evil secret society of sub-human Jews, Freemasons,' etc.

The dozens of books, essays and reviews which Eric Voegelin published during his lifetime, are almost impossible for the average person to take in.

Eric Voegelin

To give readers some idea of the scale of his thinking, Voegelin’s Major work, ‘Order and History’, began to be published in the USA in 1956 when he was aged 54, but it remained unfinished when he died 31 years later. In simple terms, Voegelin was as a philosopher-historian who took an elevated, and broad, view. He observed that, throughout human history, there have been periods of mass-alienation... following wars, revolutions, plagues, natural disasters, economic depressions, etc. ... during these periods, dangerous manipulators (acting like ancient, Gnostic Prophets by pretending moral and intellectual authority and offering some form of Utopian existence in the here and now) who at other times might be dismissed as absurd crackpots and charlatans, have found it much easier to become accepted as authentic Messiahs and to acquire a mass-following.

Thus, Voegelin, not only described, but also predicted the arrival of the latest generation of economic alchemists, like Sergei Panteleevich Mavrodi.


David Brear (copyright 2013)


http://www.business-standard.com/article/beyond-business/russian-riddle-113041200530_1.html

http://www.moneylife.in/article/mmm-india-another-mlm-taking-people-for-double-your-money-ride/32367.html

http://www.firstpost.com/investing/grow-rs-5000-to-rs-3-4-cr-in-a-yr-is-mmm-the-biggest-ponzi-scheme-ever-700184.html

http://www.business-standard.com/article/economy-policy/russian-financial-scheme-for-rural-india-113040600017_1.html

http://www.business-standard.com/article/markets/the-only-rule-in-a-russian-roulette-113040800507_1.html

http://qz.com/71919/forget-bitcoin-this-virtual-currency-doubles-your-money-every-month/

http://www.business-standard.com/article/economy-policy/ap-police-caution-people-against-mavrodi-scheme-113042400727_1.html

http://www.business-standard.com/article/finance/investors-blink-as-mavrodi-slashes-rates-of-mavro-113042600234_1.html