QNet: ED lodges money laundering case

MUMBAI: The Enforcement Directorate (ED) on Wednesday registered a case under the Prevention of Money Laundering Act against marketing firm, QNet, Vihaan Direct Selling company, former World Billiards champion Michael Ferreira and QNet's office-bearer, Vijay Eswaran.
Economic offences wing (EOW) is already probing a cheating case and has arrested nine persons connected to QNet.Sources in the ED said it would investigate and attach properties under the Act if proved that the same were purchased from the proceeds of crime.
"Most of the money went abroad. The ED will focus on finding the money trail and the suspected hawala transactions," said an officer from the security establishment.
QNet, however, refuted these allegations. In a statement it said: "QNET as a matter of policy adheres to strong principles of legal business, transparency and corporate governance. All documentation pertaining to the operations of its Indian franchisee Vihaan Direct Selling (VDS) and its financial transactions have been provided to the investigators at the EOW."- Mateen Hafeez
through its PR firm, expressed its shock and dismay at the reports suggesting that the case of money laundering has been filed against it. In a media statement QNET refuted these allegations as preposterous and completely baseless.
"QNET as a matter of policy adheres to strong principles of legal business, transparency and corporate governance. All documentation pertaining to the operations of its Indian Franchisee Vihaan Direct Selling (VDS) and its financial transactions have been provided to the investigators at the EOW. QNet reiterates that it is fully compliant with the rules and regulations of business operations under Indian laws.
Ferreira is a share-holder in the QNet, accused of duping investors by offering to sell magnetic discs, herbal products and holiday schemes allegedly through fraudulent practices. The accused have been charged with booked for forgery under relevant sections of the Prize, Chits and Money Circulation Schemes (Banning) Act 1978.