ED to disburse 12 crores to victim's of Rose Valley scam

The Enforcement Directorate (ED) has taken a significant step to provide relief to the victims of the Rose Valley Group scam. Nearly 22 lakh small depositors will benefit as the ED disburses approximately Rs 12 crore from attached fixed deposits of the Rose Valley Group of Companies in Kolkata. These companies had deceived people into depositing money by promising exorbitant returns that were never realized.

On July 24, a special PMLA (Prevention of Money Laundering Act) court in Kolkata directed the ED to transfer 14 attached fixed deposits valued at Rs 11.99 crore to a court-monitored Asset Disposal Committee. This move aligns with Prime Minister Narendra Modi’s campaign promise to compensate victims of financial crimes by redistributing the seized assets of the accused.

The Rose Valley Group has been accused of defrauding investors of approximately Rs 17,000 crores across various states. The scam targeted rural investors, offering plans with interest rates between 11.2% and 17.65%, as identified by SEBI (Securities and Exchange Board of India). Investors were locked into these plans, unable to cancel subscriptions or withdraw funds before the end of the tenure.