- By Imran Zafar
- Sun, 12 Jan 2025 12:53 PM (IST)
- Source:JND
Two Ukrainian women, Viktoriia Kovalenko and Olena Stoin, have been identified as the masterminds behind the Torres Jewellery Ponzi scheme that defrauded hundreds of investors in Mumbai. The Economic Offences Wing (EOW) of the Mumbai Police revealed that the duo fled India shortly before the scam surfaced, leaving thousands of small investors at a loss amounting to crores of rupees.
Torres Jewellery Scheme: How The Scam Unfolded
The Torres Jewellery scam revolved around investments in gemstones, gold and silver. The two Ukrainian nationals, Viktoriia Kovalenko and Olena Stoin, allegedly lured investors by promising substantial returns through bonus schemes. Posing as senior executives, the duo informed colleagues they were travelling home for Christmas but never returned. This absence triggered chaos among employees, who ransacked the showrooms in Dadar and Navi Mumbai after realising they would forfeit salaries. The vandalism alerted investors, leading to protests outside the stores.
The fallout among Torres’s senior management led to the arrests of Uzbek national Tania Kasatova, the company’s director and Russian store in-charge Valentino Ganesh Kumar. According to police, the arrested individuals fought over their share of the fraudulent earnings, further aggravating the situation. Employees reported the matter to local police, resulting in the arrests.
Police also discovered that the company's CEO, Tausif Reyaz, a school dropout, was a mere figurehead appointed by the Ukrainians. Reyaz, now on the run, introduced the scammers to Sarvesh Surve, who served as a paper director for a nominal monthly salary of Rs 25,000.
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Fraudulent Schemes and Fake Gemstones
Torres Jewellery’s fraudulent activities included selling moissanite stones, which were misrepresented as precious gemstones. The stones, purchased locally for Rs 300 apiece, were used to entice investors. Police seized Rs 5.77 crore from Kasatova’s residence in Colaba. The arrested individuals, however, claimed they were merely translators for the Ukrainian masterminds.
Launched in February last year, Torres Jewellery operated six outlets across Mumbai, offering a bonus scheme. Investors who deposited Rs 1 lakh received a moissanite pendant worth Rs 10,000 and a promise of weekly interest payments ranging from 6 to 11 per cent. Although initial payouts were made, they ceased two months ago, raising suspicions among investors.
Days before shutting down operations, Torres released a YouTube video promoting an 11 per cent interest rate on investments made before January 5, incentivising cash payments with an additional 0.5 per cet interest. On January 6, the stores abruptly closed, leaving investors defrauded.
The scam primarily targeted lower-middle-class investors, including vegetable vendors and small traders. Victims invested amounts ranging from a few thousand rupees to crores. Seven complainants reported losses totalling over Rs 13 crore. Many investors expressed frustration, questioning why government authorities failed to act despite Torres having GST and CIN registrations.
Navghar police arrested three individuals connected to the scam: Lakshmi Yadav, who leased office space for Torres, store supervisor Nitit Lakhwani and manager Kaiser Khalid Sheikh. Over Rs 26 lakh in cash was recovered from the accused. All three were presented before the Thane sessions court.
Meanwhile, the police are investigating a letter sent in June by a sub-inspector to Torres Jewellery, which failed to prompt timely action. Deputy Commissioner of Police, Zone 1, Prakash Gaikwad and Senior Police Inspector Dheeraj Koli visited the affected jewellery store at Ramdev Park to assess the situation.
