Court grants 10-Day ED custody in QFX investment fraud case

A Special PMLA Court on Friday granted the Enforcement Directorate 10 days custody of accused Anuj Tyagi in connection with an investment fraud case.

The order was passed on an application filed by the ED seeking 14 days of custody. The ED’s case is based on a First Information Report (FIR) registered in Mandi, Himachal Pradesh, in October 2023, alleging that a complainant was defrauded of approximately Rs 12.6 lakh by individuals associated with the QFX Group of Companies. The ED registered its own case in February 2024.

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According to the ED’s submissions in court, the investigation revealed a larger scheme where entities like QFX Trade Limited allegedly operated a multi-level marketing (MLM) scheme, promising high returns from forex trading. The agency claimed that funds collected from investors, reportedly totalling hundreds of crores of rupees, were routed through various bank accounts.

The ED alleged that Anuj Tyagi played a crucial role in handling the proceeds of crime and managing bank accounts for receiving fraudulent investments. It was submitted that he was in direct communication with other accused persons and was involved in circulating bank details for the collection of investor funds.

The defence counsel opposed the remand application, contending that the accused was innocent, not named in the original FIRs, and had cooperated with the investigation.

After hearing both sides and examining the case diary, the Special Judge found prima facie merit in the ED’s contentions. The court noted that the accused appeared to be directly indulging or assisting in the process connected with the proceeds of crime. The judge observed that custodial interrogation was necessary to discover the proceeds of crime and understand the full extent of the alleged conspiracy.

The court granted ten days of ED custody, directing the agency to produce the accused before the court on December 15, 2025. The judge also directed that the accused be medically examined before the start of custodial interrogation and be permitted to meet his lawyer daily for one hour.