Six persons were arrested from four States as part of “Operation Ignite Crackdown”, aimed at dismantling an alleged money circulation scheme operating under the name IGNITE.Hyderabad Police Commissioner V.C. Sajjanar said that the action was taken within 18 days of the formation of IGNITE’s Indian entity, preventing what investigators believe could have developed into a fraud worth ₹5,000 crore.He said the investigation had identified the involvement of individuals previously associated with QNET and found similarities between the two networks.The arrests were made in Kerala, West Bengal, Delhi and Uttar Pradesh. Those arrested were identified as Oneal Gupta, alleged recruiter and team leader; Dinesh Kumar Saahil and Priyanshu Saxena, directors of Indi Konnect Ventures Pvt Ltd; Praveen Kumar Dakalia and Paritosh Kumar Dakalia, directors of Parasnath Mercantile Pvt Ltd; and Riyaz, an alleged field recruiter from Kerala.Sajjanar said three complaints were received between June 5 and June 6 from Hyderabad residents who allegedly paid amounts ranging from ₹61,639 to ₹63,899 after being recruited through different channels, including WhatsApp messages, Zoom presentations and face-to-face interactions. The total amount lost by the three victims was ₹1.87 lakh.According to the Commissioner, investigators found that despite the different recruitment methods, all three victims were directed to transfer money to the same bank account belonging to Parasnath Mercantile Pvt Ltd, indicating a common collection infrastructure.He said the case was initially registered through three separate FIRs at Panjagutta, SR Nagar and Kachiguda police stations before being transferred to the Central Crime Station after investigators suspected the emergence of a new entity linked to QNET.The commissioner said preliminary investigation showed that IGNITE was operating through Indi Konnect Ventures Pvt Ltd, which was incorporated on May 18 this year. He said the company’s memorandum openly referred to commissions, bonuses and rewards for enrolling and recruiting direct sellers, which investigators believe fits the definition of a money circulation scheme under the Prize Chits and Money Circulation Schemes (Banning) Act.The Commissioner said investigators had identified links between IGNITE and earlier entities including GoldQuest, QuestNet and QNET. He alleged that IGNITE founder Pathman Senathirajah, named as an accused in earlier cases, and other senior figures associated with QNET were connected to the current network.Sajjanar said investigators had traced an alleged international money trail involving payments collected in India and routed through various entities before reaching persons associated with the organisation abroad. He added that Hyderabad City Police believed an international money-moving network was operating behind the scheme.According to the investigation, IGNITE marketed products including Semetra, Activa, Brush-O and brAInify. Police alleged that victims were told refunds would be provided only if they recruited additional members or maintained funds in an IGNITE e-wallet, indicating that enrolment rather than product sales was the core activity of the scheme.Cases have been registered under provisions relating to cheating, criminal conspiracy, the Telangana Protection of Depositors of Financial Establishments Act, the Prize Chits and Money Circulation Schemes (Banning) Act, and the Information Technology Act.Sajjanar said further arrests were expected and that the Hyderabad City Police would coordinate with the Ministry of Corporate Affairs, the Serious Fraud Investigation Office and the Enforcement Directorate to probe the international money trail and examine possible money laundering aspects of the case. Published - June 11, 2026 08:06 pm IST