Falcon Invoice scam: ED gets Three-day remand of accused Sandeep Kumar
Hyderabad: The Special PMLA Court, Hyderabad has granted a three days remand of Sandeep Kumar to the Directorate of Enforcement (ED), Hyderabad Zonal Office on Tuesday. The ED arrested him in connection with the bogus invoice discounting scam that duped hundreds of investors promising high returns.
According to the Anti Money Laundering Investigation Agency, the scam revolved around a scheme dubbed ‘Falcon Invoice Discounting App', which promised attractive, worry-free returns through non-existent invoice discounting deals with reputed multinational clients.
Sandeep Kumar was arrested by the ED on 31.07.2025 under the provisions of the Prevention of Money Laundering Act (PMLA), 2002, in connection with an ongoing investigation against M/s Capital Protection Force Pvt. Ltd., Amardeep Kumar, and others. Sandeep Kumar was produced before the Special PMLA Court on 01.08.2025, and the Court remanded him to 14 days judicial custody.
The premier central investigation agency initiated an investigation on the basis of three FIRs registered by the Economic Offence Wing, Cyberabad against M/s Capital Protection Force Pvt. Ltd., Amardeep Kumar & others, wherein it was alleged that Amardeep Kumar, Capital Protection Force Pvt. Ltd. & others fraudulently cheated gullible investors on the pretext of high returns by purportedly financing business invoices through the Falcon app.
Investigation revealed that M/s Capital Protection Force Pvt. Ltd., in the name and style of ‘Falcon invoice discounting scheme’, lured the investors on the pretext of providing funds for invoice discounting in exchange for promising returns based on the invoices discounted, but failed to repay their invested amounts. "Amardeep Kumar was the mastermind behind the scam and he developed the Falcon invoice app in order to receive deposits from the investors. The ED investigation revealed that in reality, no business of invoice discounting was carried out and the accused cheated investors to the tune of approximately Rs. 792 Crore," said the ED in a statement.
Further ED's investigation revealed that Proceeds of Crime (POC) were used as investment in equity shares of several companies, loans to companies, purchase of an aircraft, conspicuous consumption in casinos, purchase of immovable properties in the name of Amardeep Kumar and his family members, etc.
ED probe revealed that out of the POC in the account of M/s Capital Protection Force Private Limited, an amount of Rs. 4.85 Crore (approx.) was transferred to the bank account of Sandeep Kumar, the brother of the main accused Amardeep Kumar. Sandeep Kumar was an active member of the cartel and was actively involved in the activities related to the companies owned, managed, and controlled by his brother Amardeep Kumar. The investigation also revealed that Sandeep Kumar was a Director in M/s Falcon Capital Ventures Private Limited and M/s Swastik Ghee Private Limited, which received POC from M/s Capital Protection Force Private Limited to the tune of Rs 5.74 Crore. Further investigation revealed that Sandeep Kumar utilized the POC for business activities in his companies or for the purchase of immovable properties.
ED had earlier attached movable and immovable properties worth Rs. 18.14 crore, which included properties worth Rs. 7.65 crore belonging to Sandeep Kumar. Further investigation is under progress.
