ED Arrests Two in Chennai for Investment Fraud Linked to Unique Exports

Chennai, October 1 (Daily Kiran) : The Enforcement Directorate (ED) has taken significant action in Chennai, arresting S. Naveen Kumar and S. Muthuselvan on September 29 in connection with a money laundering investigation tied to Unique Exports and its associated firms.

Both suspects were presented before a special court under the Prevention of Money Laundering Act (PMLA), which ordered their 15-day judicial custody. The ED’s investigation was initiated based on an FIR filed by the Tamil Nadu Police’s District Crime Branch in Erode, citing various sections of the Indian Penal Code and the Tamil Nadu Protection of Interest of Depositors Act.

The investigation revealed that Naveen Kumar, Muthuselvan, and their associates established investment schemes under the banners of Unique Exports, East Valley Agro Farms, and others, promoting plans named UNI, FNP, FAP, and UN. They lured unsuspecting investors with promises of high returns from agricultural product exports. However, it was found that Unique Exports and its affiliates had not engaged in any substantial export activities but continued to collect money by falsely promising profits from exports.

Further inquiries uncovered that approximately 35,759 investors had contributed around ₹1,417.86 crores. The ED discovered nearly ₹719 crores deposited in various bank accounts linked to Unique Exports. The funds were funneled through over 100 bank accounts registered under the names of the company, family members, and close associates.

Naveen Kumar, the mastermind behind these schemes, controlled banking operations and transactions involving investors’ money. Banking analyses indicated that nearly ₹390.90 crores were falsely reported as salary payments, despite only four individuals being employed at the company.

Additionally, entries worth approximately ₹79.56 crores for the purchase of onions and commodities were recorded without any actual agricultural product procurement. These transactions were used to obscure and misappropriate investors’ funds as business expenses.

Muthuselvan played a crucial role in formulating and managing these schemes, connecting with investors, and manipulating funds. The investigation revealed that he received about ₹12.72 crores in returns, commissions, and referral benefits in exchange for an investment of approximately ₹42.10 lakhs.

Funds were taken and distributed through Muthuselvan’s personal accounts and associated companies, such as Dhanashree Enterprises and Universe369 Infra Private Limited. Earlier, on June 16 and 17, 2026, the ED conducted searches at nine locations linked to Naveen Kumar and his associates under Section 17 of the PMLA. The investigation is ongoing.