Aravalli District Congress President, Arun Patel, has been arrested by Gandhinagar Police for his involvement in a multi-crore investment fraud case related to Shoutspace Digital Private Limited. The fraud scheme, centered on misleading investors with promises of “terabyte space” investments, operated from an office in the WTC Complex in Ratanpur village. Investors were lured with the prospect of fixed monthly returns for purchasing “terabyte space” but were left empty-handed when payments stopped.
The company, Shoutspace Digital Private Limited, allegedly issued misleading advertisements and false profit projections to attract investments, despite lacking the necessary infrastructure for data storage. Investors were led to believe they would receive regular returns akin to those from regulated financial institutions. However, the accused individuals resorted to creating fake invoices to collect funds, with a portion of the money being funneled to associated entities as part of a broader diversion mechanism.
A complainant in the case disclosed investing Rs 32.75 lakh for 84 terabytes of space, enticed by promises of fixed rental income and other incentives like foreign travel opportunities. Initial payments were made but ceased after a period, leaving investors in the lurch. Authorities have identified at least 12 other investors, reporting total losses of approximately Rs 4.90 crore, with suspicions that the actual exposure might be even higher.
A Special Investigation Team (SIT) has been established to probe the case further and recover diverted funds, following the arrest of Arun Patel and Sachin Patel, a zonal manager of Shoutspace Digital Private Limited. Arun Patel, associated with Cloudji Digital Private Limited, is currently under scrutiny for his role in the alleged fraud scheme, with ongoing investigations to determine his level of involvement and responsibilities.
