Ukrainian nationals behind Mumbai's Torres jewellery ponzi scam, police probe intensifies: Report

The scam came to light last week when six stores of the Torres jewellery chain abruptly shut down, leaving investors devastated.

Two Ukrainian nationals, Artem and Olena Stoin, have been identified as the masterminds behind the Ponzi scam that has defrauded hundreds of investors in Mumbai. According to an NDTV report, the Economic Offences Wing of the Mumbai Police is currently investigating the Torres jewellery scam and has zeroed in on the Stoin duo, who are accused of masterminding a scheme that promised huge returns on investments in gemstones, gold, and silver.

Police sources told NDTV that the Stoin couple played a key role in planning how to lure people into investing with the allure of substantial returns. Investigators are also looking into the 14 luxury cars distributed as lucky draw prizes to investors, which were reportedly used to attract more customers to the Ponzi scheme.

The scam came to light last week when six stores of the Torres jewellery chain abruptly shut down, leaving investors devastated. The stores had collected investments worth crores by promoting a scheme that promised hefty returns. Following the incident, a case has been filed against the holding firm, Platinum Hern Private Limited, and its directors, CEO, general manager, and store in-charge, who have been charged with cheating and criminal conspiracy, among other charges.

The Torres outlets, which opened in February of the previous year in and around Mumbai, specialized in gemstone jewellery and offered a bonus scheme. Under the scheme, customers who invested Rs 1 lakh were promised a pendant with a moissanite stone worth Rs 10,000. However, customers later discovered that these stones were fake. They were also promised a 6 percent interest rate on their investment, paid out across 52 weeks. This rate later climbed to 11%. While some investors received payouts over the past year, these payments stopped about two months ago.

About a week before the stores shut, Torres posted a video on YouTube offering 11 percent interest on investments made before January 5, with an additional 0.5 percent interest for cash payments. This move was likely intended to bring in a rush of investments. However, when the stores closed on January 6, investors realised they had been scammed.

Most of the investors in this scheme were from the lower-middle class, including vegetable sellers and small traders who were attracted by the promise of high returns. The total amount invested under this scheme runs into several crores. Seven individuals who filed a police complaint have stated that they invested over Rs 13 crore collectively, the NDTV report added.