The Enforcement Directorate (ED) has arrested a man from Delhi in connection with a major money laundering case involving a fake Chinese investment app scam worth over ₹900 crore.
What Happened?
The man, named Rohit Vij, was arrested on June 30 after the ED searched several places in Delhi. The case began with a 2022 police complaint filed by the Hyderabad Cybercrime Police.
The Fake App
According to the police, some Chinese nationals, along with a few Indians, ran a fake investment app called “LOXAM”. The app tricked people by promising very high returns and falsely claimed to be linked to a well-known French company.
Where Did the Money Go?
The money people invested was collected in a fake company called Xindai Technologies Pvt. Ltd., which was set up under an Indian’s name but was controlled by a Chinese man named Jack. Jack used online banking to transfer the money through 38 fake accounts.
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How the Scam Grew Bigger
The ED found that Rohit Vij and his team played a big role in converting this money into foreign currency (like US dollars and UAE dirhams) using money exchange companies such as Ranjan Money Corp Pvt. Ltd. and KDS Forex Pvt. Ltd., both based in Delhi.
The converted money was then sent to the Chinese masterminds through illegal hawala channels (unofficial money transfer networks).
The Total Amount Involved
According to the ED, ₹171 crore was first sent through Xindai Technologies. But after checking the bank records of the two money changer companies, the ED discovered that in just seven months, about ₹903 crore was converted and sent abroad illegally under Rohit Vij’s control.
