ED raids uncover ₹120 crore investment fraud by Kalpana Financial Services in Odisha and West Bengal

The Enforcement Directorate raided ten premises in Odisha and West Bengal on Wednesday, uncovering an alleged ₹120 crore investment fraud linked to Kalpana Financial Services. The raids were carried out under the Prevention of Money Laundering Act following a FIR lodged by the Odisha Police Economic Offences Wing. The FIR says the scheme, run under the name Kalpana Financial Services, persuaded ordinary people to invest by promising fixed monthly returns of 3.5‑7% from share‑market trading. Promoters collected roughly ₹120 crore from the public before the probe began. One of the raided locations belonged to the company’s director, Amit Mandal. Officials said the searches targeted documents, computers and cash that could show money‑laundering activity. The ED has not yet filed charges, but the investigation will focus on whether the collected funds were actually used for the advertised trading activities. The case adds to a series of recent financial fraud investigations across India.

Context

Investment schemes that promise guaranteed returns often lure small savers in rural and urban areas. Under the Prevention of Money Laundering Act, authorities can seize assets and interrogate promoters if they suspect illicit fund flows. Similar raids have been conducted in other states as regulators clamp down on unregistered financial products.