The Enforcement Directorate (ED), on Thursday, November 23, issued summons to renowned actor Prakash Raj in connection with an ongoing money laundering investigation against the Trichy-based Pranav Jewellers. He has been asked to appear before the agency in Chennai on Monday. The firm allegedly amassed ₹100 crore from the public through a ponzi scheme, promising lucrative returns. Any scheme that promises to amass wealth quickly, is potentially a Ponzi scheme. It lures investors into putting in their money with the promise of high returns.

The ED said that Prakash Raj was under the scanner because he was the brand ambassador for Pranav Jewellers. The ED had conducted a raid on the premises of the jewellery on Monday. In a statement released on Wednesday, the ED said, "Investigation revealed that Pranav Jewellers and other connected persons cheated the public by diverting public funds to shell entities/entry providers under the garb of the purchase of bullion/gold ornaments. Searches also revealed that the supplier parties in the books of Pranav Jewellers were entry providers, who during the investigation confessed to have provided adjustment or accommodation entries to Pranav Jewellers for amounts over ₹100 crores; and also confessed to have given cash to the accused persons in lieu of bank payments.” The agency had also seized Rs 23.70 lakh in cash and bullion/ gold jewellery weighing 11.60 kg.

Prakash Raj, who had acted in prominent roles in Tamil, Telugu, Kannada, Malayalam and Hindi. He is also a director and producer. He had been vocally critical about the BJP and Modi-government for the past several year.

Source: The News Minute