Ram Sumiran Paul (37), alleged mastermind of the SpeakAsia scam worth Rs 2,200 crore (in Mumbai), was arrested by the Crime Branch of the Delhi Police on Monday from Connaught Place. He had duped over 24 lakh investors in India and abroad. The scam was unearthed in 2010. His arrest came after 28 months of long pursuit. He was in Delhi to dispose off one of his properties in Kamla Nagar. The Paul brothers had also financed a Bollywood movie starring Rajpal Yadav named Jeeyo Raja Phantom.
One of the most wanted criminals by the Mumbai Police finally fell prey to the hands of the Delhi Crime Branch on Monday after a long wait of 28 months. Sumiran Paul had come to the Capital to dispose off a property in Kamla Nagar with the help of his friend Satish Pal. Satish earlier worked in the SpeakAsia organisation and had fled to Malaysia after the scam came to light. He now resides in Najafgarh area in Delhi. The EOW of the Mumbai Police will be reaching the Capital on Tuesday night to join the investigations.
“Sumiran Paul was the director and founder of several dubious international Multi-level Marketing (MlM) companies like AD-Matrix Private limited, seven rings international and others — which were registered in Brazil, Singapore and Italy — were used for the scam through money laundering. SpeakAsia was registered in Singapore. Around 210 bank accounts containing more than Rs 150 crore were earlier seized by other investigating agencies,” said Ravindra Yadav, Additional Commissioner of Police (Crime Branch). The three people behind this scam were Sumiran Paul, his brother Ram Niwas Paul and Manoj Sharma. This is the first arrest after the scam was exposed in 2010.
Both the brothers were earlier part of the top management of MlM companies registered in foreign countries like Singapore, Italy and Brazil, which by its international profile attracted more investors and also helped them in money laundering at a later stage.
In a similar fashion SpeakAsia, which was registered in Singapore, was introduced in India in early 2010 by the Paul brothers with the help Sharma. It is an online survey marketing company which sold web subscriptions for Rs 11,000 and in return the investors had to fill survey forms for certain Multi-National firms for promised annual payment of Rs 52,000. They wrapped up their operation in India around mid-2011 after paying a few investors. To make the investors trust the company they arranged for a meeting in Goa. A free train and a portion of the beach resort were booked. Neha Dhupia, Rani Mukeri, Mika and Abhijeet Sawant performed at this meet in Goa. The brothers also invested Rs 2.5 crore in a Bollywood movie starring Rajpal Yadav which miserably flopped. Rajpal Yadav was questioned about his connection with them as well earlier.