The Directorate of Enforcement (ED) conducted searches at eight locations across Tamil Nadu and Kerala as part of a money laundering investigation against Dream Makers Global Pvt. Ltd. (DMGPL), which is accused of operating a multi-level marketing (MLM) and Ponzi scheme that allegedly cheated thousands of investors. The raids were carried out under the Prevention of Money Laundering Act (PMLA) at premises in Coimbatore, Krishnagiri, Malappuram and Thrissur based on an FIR registered by the Tamil Nadu Police’s Economic Offences Wing.
According to the ED, the company allegedly collected hundreds of crores of rupees from investors by offering software-related investment packages with promises of unusually high daily returns and claims that investments would double within 150 days. Investigators said initial returns were paid to build confidence and attract more investors, but the company later defaulted on payments, causing significant financial losses to thousands of depositors. The agency alleged that the late Managing Director S. Sathish Kumar, Director Gunavathy and manager Mugunthan Nair played key roles in running the scheme.
During the searches, the ED seized incriminating documents, digital records, diaries and details of properties allegedly purchased using the proceeds of crime. The agency also identified bank accounts, fixed deposits and other financial assets linked to the accused and their associates, many of which had already been frozen by other law enforcement agencies. The ED said the money laundering investigation is continuing.
