Enforcement Directorate Attaches ₹110 Crore Assets in Prayag Group Money Laundering Case

The Enforcement Directorate (ED) has taken decisive action in a money laundering case involving the Prayag Group of Companies, attaching immovable properties valued at ₹110 crore. The attached assets include over 450 acres of land and other properties located across West Bengal, Bihar, and Assam.

The case against Prayag Group stems from allegations that the company fraudulently collected approximately ₹2,863 crore from over 3.8 million investors through illegal deposit schemes. These schemes were allegedly operated without the necessary approvals from the Reserve Bank of India (RBI) or the Securities and Exchange Board of India (SEBI).

According to the ED, the collected funds were not utilized for legitimate business activities. Instead, the Prayag Group is accused of running a Ponzi-type scheme, where money from new investors was used to pay returns to earlier investors. A significant portion of the funds was also allegedly diverted for the personal gain of the directors and the acquisition of assets. As of March 31, 2016, the unpaid dues to depositors were estimated at ₹1,906 crore, excluding interest.

The ED initiated its money laundering investigation based on a First Information Report (FIR) and charge sheet filed by the Central Bureau of Investigation (CBI). The CBI's case invoked provisions of the Indian Penal Code and the Prize Chits and Money Circulation Schemes (Banning) Act of 1978.

The ED's investigation revealed that the Prayag Group, primarily through its companies Prayag Infotech Hi-Rise Ltd and Prayag Infotech Network Pvt Ltd, engaged in large-scale illegal deposit mobilization. The agency alleges that the group promised high returns to lure depositors into these unauthorized schemes.

Basudeb Bagchi and Avik Bagchi, directors of the Prayag Group, are currently in judicial custody in connection with the case. The ED has already filed a prosecution complaint against them.

This attachment order was issued on December 15, 2025, under the provisions of the Prevention of Money Laundering Act (PMLA) of 2002. The ED's Kolkata zonal office is handling the case. The Enforcement Directorate continues to investigate the matter.