Telangana CID Arrests Falcon MD in ₹792 Crore Depositor Fraud Case
The Telangana CID has arrested the Managing Director of Falcon Invoice Discounting in connection with an alleged large-scale financial fraud involving thousands of depositors.
The accused, Amardeep Kumar, was taken into custody at Mumbai airport after returning from Iran, following the issuance of a Look Out Circular.
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According to senior officials, the case involves unauthorised collection of deposits, criminal breach of trust, cheating, and conspiracy linked to M/s Capital Protection Force Pvt Ltd, which operated under the Falcon Invoice Discounting brand.
Fake Investment Platform Used to Lure Depositors
CID officials stated that the accused had developed a fraudulent website and mobile application that showcased fabricated invoice discounting opportunities.
These deals were falsely presented as being linked to reputed multinational companies, creating an illusion of safety and credibility.
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Investors were promised unusually high and assured returns, which led many to deposit large sums. In total, the company collected around ₹4,215 crore from 7,056 depositors.
Of these, 4,065 investors were cheated of approximately ₹792 crore, investigators said.
Case Transferred to CID After Multiple Complaints
Based on complaints filed by victims, multiple cases were initially registered at the Economic Offences Wing (EOW) of the Cyberabad Police Commissionerate under relevant sections of the Bharatiya Nyaya Sanhita (BNS) and the Telangana State Protection of Depositors of Financial Establishment Act, 1999.
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The cases were later transferred to the Telangana CID for detailed investigation.
So far, 11 accused have been arrested, including directors, senior executives, and a Chartered Accountant associated with the firm. All have been remanded to judicial custody.
Assets Identified, Attachment Process Underway
Investigators have identified assets allegedly purchased using misappropriated depositor funds. These include 12 plots of land, four luxury cars, ₹8 lakh in cash, 21 tola of gold, and bank balances amounting to nearly ₹8 crore.
The CID has initiated proceedings to attach these assets while continuing efforts to trace the wider money trail.
Ponzi Scheme Collapsed in January 2025
Police said Falcon Invoice Discounting began operations in 2021 and followed a classic Ponzi model.
New deposits were routinely used to pay returns to earlier investors, masking the lack of genuine business activity.
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By January 15, 2025, the scheme collapsed as promised payouts stopped and the Hyderabad office was abruptly shut down. This triggered a wave of complaints from affected investors.
Further investigation revealed that depositor funds were diverted into multiple ventures, including cryptocurrency platforms, IT software development firms, multi-level marketing schemes, luxury hospitality projects, private charter services, and real estate investments.
Officials said the probe is ongoing and further arrests are likely as financial links and shell companies are uncovered.
