Were running it on rates of commodities in futures trading

Three persons allegedly running a Multiple Commodity Exchange (MCX) betting racket in Chandni Chowk have been arrested by the Delhi Police Crime Branch, and Rs. 4.7 lakh in cash and other articles have been seized from them.

Krishan Aggarwal (43), Manish Jain (38) and Vishal (33) were running a racket in betting on rates of commodities like gold in futures trading.

The breakthrough came when a team led by Inspector Sunil Kumar received a tip-off that some persons were running an MCX betting racket.

Shopkeepers involved

The police on Tuesday then sent a decoy to place a bet on gold rates. After the deal was struck, they raided the premises and arrested the three involved.

Police investigations revealed that about 25 people ran the racket and over 2,000 local shopkeepers placed bets on gold, silver and copper rates.

Bets to the tune of Rs.30 crore were placed by the gamblers over phone every day.

During interrogation, the accused disclosed that they had been running the racket for the past two years.


“There are certain guidelines laid down by the government which govern trading in MCX. A member who opts for trading in MCX is required to pay a certain amount as commission/tax to the department/person concerned. While Rs.250 is paid by the members to the MCX, Rs. 100 goes to the State Government as stamp charges per Rs.1-crore transaction,” said Commissioner of Police, Ravindra Yadav. However the accused were flouting all the rules.

Mr. Yadav also said that the online MCX rates were being provided to the accused through a local cable television network.

“The Multi Commodity Exchange of India Limited is an independent commodity exchange established in 2003. It is based in Mumbai. It offers future trading in bullion, ferrous and non-ferrous metals, energy, and a number of agricultural commodities. It is regulated by the Forward Markets Commission,” he said. Commissioner of Police Ravindra Yadav.


Two arrested in betting racketOctober 7, 2011

More In: Delhi