Jewelry Investors Lose $115m to Ponzi Fraud
January 14, 25
(IDEX Online) - Police in Mumbai, India, are investigating a jewelry-based Ponzi scheme which is believed to have defrauded investors out of $115m (Rs 1,000 crore).
More than 1,500 people have filed complaints against Torres Jewellery, which promised high-return investment opportunities in gemstones, gold, and silver.
It opened in February 2024 and lured customers with the offer of a 48 per cent annual return on gold, 96 per cent on silver, and 520 per cent on moissanite.
Torres initially honored its commitments, paying out every two weeks. Then, on 30 December, 2024, it suddenly stopped.
The Economic Offences Wing of the Mumbai Police launched a probe last week after Torres suddenly closed the six stores it operated across Mumbai (on 6 January).
Police suspect two Ukrainian citizens of having masterminded the scheme. They left India, supposedly for a Christmas break - but never returned.
Police have also frozen bank accounts belonging to Platinum Hern Private Limited, the parent company of Torres Jewellery.
Angry former employees, who haven't been paid have are reported to have ransacked the Torres stores where they worked.