By IANS,
Chennai : A multi-level marketing firm chief was detained Saturday here for one year under the Goonda Act following seizure of wealth amounting to over Rs.2.89 billion, the police said.
Quest Net’s managing director Pushpam Appala Naidu, 39, and her company have been accused of cheating over 9,000 people across the country. The act allows preventive detention without trial for a year.
Naidu’s assets were spread in several Indian cities as property, cash, shares and gold. Notices have been issued by the central government agencies against the company for allegedly evading duty to the tune of Rs.260.57 million on gold imports since 2003, for which a private Indian bank also has been asked to respond to charges of complicity, police sources said.
Her detention follows her earlier arrest in 2003 for similar offences. Her colleague, Augustine Joseph, at present in police custody, is also likely to be jailed for a year under the same law, police sources added.
Pushpam and six of her colleagues were arrested May first week following complaints of cheating and criminal breach of trust.
The company is said to be banned in Sri Lanka, Indonesia and the Philippines.
Quest Net’s principals – Gold Quest, a multinational company present in over 100 countries – has, however, denied any wrongdoing in a press communiqué issued from Malaysia last fortnight.