ED searches 11 sites in alleged Kalpana Financial Services investment fraud
The ED searched 11 premises in Odisha and West Bengal and froze about Rs 4.5 crore in 36 bank accounts in an alleged scheme that promised investors fixed monthly returns of 3.5% to 7%.
Key points
- The ED's Bhubaneswar office searched 11 premises in Odisha and West Bengal on 4 November 2026 in the Kalpana Financial Services case.
- The ED froze about Rs 4.5 crore in 36 bank accounts and one locker, and says Rs 120 crore was credited to the accounts of suspected persons.
- According to the ED, payment of returns and principal allegedly stopped around July 2024; its investigation continues.
The Enforcement Directorate (ED) searched 11 premises in Odisha and West Bengal on 4 November 2026 in the case of Kalpana Financial Services, an alleged investment scheme that promised the public fixed monthly returns of about 3.5% to 7%. The ED froze bank balances of about Rs 4.5 crore in 36 accounts, along with one locker.
What Happened
The ED's Bhubaneswar Zonal Office carried out the searches under the Prevention of Money-laundering Act (PMLA) and said it seized documents and digital devices. Its investigation is based on an FIR registered by the Economic Offences Wing of the Odisha Police in Bhubaneswar against the operator of the scheme and others.
According to the ED, members of the public were induced to invest on promises of fixed monthly returns from purported share-market and trading activities. The ED says the operator ran the arrangement through his proprietary concerns and companies, including M/s Kalpana Consultancy Services, M/s Murali Consultancy Services and M/s Kalpamit Consultancy Private Limited, using a network of agents, introducers and local coordinators.
The ED said investors were approached through promotional meetings, WhatsApp messages and referrals, and were given agreements and post-dated cheques. Early payouts encouraged more investment, while payment of returns and repayment of principal allegedly stopped around July 2024. During the scheme's operation, Rs 120 crore was credited to the accounts of suspected persons, the ED said.
The operator was not found at his known locations in Bankura, West Bengal, during the search. The ED said it traced him to Bengaluru through technical surveillance and recorded his statement under the PMLA.
These are allegations, not findings of guilt; the accused are presumed innocent until proven guilty in court, and due process continues.
What It Means
Freezing bank balances stops the money from being moved while the investigation continues; the release does not say how or when investors may get money back. The ED said further investigation is under way.
The case, as the ED describes it, involved promises of fixed monthly returns from share trading, sold through agents and WhatsApp. Readers can check whether a deposit scheme is unauthorised, or report one, on RBI's Sachet portal at https://sachet.rbi.org.in.
This report describes enforcement actions and allegations on the public record, attributed to the officials cited. An order, FIR or chargesheet is not a conviction; parties are presumed innocent until proven guilty.
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Sources & Citations
- Enforcement Directorate press release — Enforcement Directorate