The alleged multi-level ponzi scheme "Bike Bot" ran by Bahujan Samaj Party (BSP) leader Sanjay Bhati may amount to several thousand crores of rupees, the police said on Tuesday.
In what is being termed as one of the biggest ponzi schemes to have been unearthed in Noida, Bike Bot allegedly duped over 2 lakh investors within a few months.After Bhati surrendered on Friday, the BSP leader was sent to judicial custody. When the Gautam Buddh Nagar police present its case in the district court on Wednesday, it will seek police custody of the accused, a senior police officer said on Tuesday.
According to the officer, the police had earlier estimated the scam to be of around Rs 1,400 crore. However, following further inquiry into the case, the police now believe the magnitude of the scam to be much higher.
Bhati and other top brass of Garvit Innovative Promoters Limited (GIPL), known for its motorcycle taxis, were wanted for cheating and had cases registered against them in Greater Noida and several other states.The company in Greater Noida had come out with the multi-level marketing scheme "Bike Bot", luring investors with a promise of doubling returns within one year.
The bike-taxis have been operating in districts like Gautam Buddh Nagar, Ghaziabad, Hapur and Bulandshahr in western Uttar Pradesh, while its network was also active in states like Rajasthan, Madhya Pradesh and Haryana, among others, officials said.
Sources in the Economic Offences Wing (EOW), Noida, revealed that the company had got nearly 7,000 bikes out of which 2,000 were registered and the remaining unregistered.
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More than 2 lakh people invested Rs 62,100 each in the ponzi scheme, the total amounting to nearly Rs 1,400 crore. However, the numbers might go up drastically for which the police are seeking the custody of Bhati, said a senior police officer.
"The company had used internet, social media, pamphlets and motivators who would spread word about the scheme and encourage gullible people to invest in it. The investors would be further assured some extra bonus if they could connect more investors with the scheme," the police said.
--- IANS
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