In a major financial scam following the Torres fraud, the Mulund Police have registered a case against MoneyEdge Group of Companies and its four partners for allegedly cheating approximately 3,000 investors out of ₹100 crore. The case was filed on Tuesday, leading to the arrest of two partners, Hariprasad Venugopal and Pranav Raorane. The duo was produced in court and remanded to police custody until January 22. The investigation has now been transferred to the Economic Offenses Wing (EOW) for further action.
According to EOW sources, around 3,000 investors were lured with promises of 24% annual returns through unauthorized portfolio management services. The partners named in the complaint are Rajeev Jadhav, Hariprasad Venugopal, Pranav Raorane, and Priya Prabhu, along with other associates. These individuals allegedly operated under multiple entities — MoneyEdge Investment, MoneyEdge FinCorp, MoneyEdge Realtors, and MoneyEdge Capital Services — to execute their fraudulent schemes. Established in 2013, the MoneyEdge Group of Companies had its office in Shastri Nagar, Mulund West.
The scam came to light when a Kandivali-based businessman, Rahul Poddar, who invested ₹2.8 crore with his family and friends between 2022 and 2024, stopped receiving returns in May 2024. Poddar lodged a complaint in October 2024 at the Mulund Police Station. Investigations revealed that thousands of other investors faced similar losses.
No SEBI License
Despite offering portfolio management services, the group lacked the mandatory license from the Securities and Exchange Board of India (SEBI). Instead, they operated under the support of Mudra Credit Co-operative Society Limited and Jeevan Multistate Multipurpose Co-operative Society Limited.
The case was registered after a preliminary inquiry under Section 420 (Cheating), Section 409 (Criminal breach of trust), and Section 34 (Common intention) of the Indian Penal Code, as well as violations of the Maharashtra Protection of Interest of Depositors (MPID) Act.
Professional Background of Accused
The accused include individuals from diverse professional backgrounds:
Pranav Raorane: A mechanical engineer.
Hariprasad Venugopal: Previously employed in private mutual fund firms.
Rajeev Jadhav: Former private mutual fund employee who partnered with Venugopal.
Priya Prabhu: A retired postal employee who opted for voluntary retirement to join MoneyEdge.
Dispute and Scam Exposure
The internal dispute within the company in mid-2024 disrupted the payment of returns, exposing the scam. From January 2022 to May 2024, investors received regular returns, but payments ceased after May 2024. Poddar’s complaint triggered an investigation, revealing the larger fraud.
EOW investigators suspect the diverted funds were invested in other ventures. While two partners — Venugopal and Raorane — remain in custody, further arrests are likely. The authorities are working to identify and seize properties linked to the accused.
The investigation, guided by DCP Sangramsingh Nishandar, is being handled by Senior Police Inspector Dattatray Bakare and Inspector Arjun Padwale.
Authorities have cautioned the public to avoid investing in schemes promising high returns without due diligence. Public awareness and timely reporting of suspicious schemes are essential to prevent financial fraud.