ED initiated an investigation based on various FIRs registered under the provisions of Bharatiya Nyaya Sanhita (BNS) by Noida police and Punjab Police.

In a statement, ED said, during the investigation, it was revealed that Sukhvinder Singh Kharour, the CEO and founder of Vuenow Group, in connivance with other accused persons/entities, orchestrated a multi-crore 'Cloud Particle Scam' wherein hard-earned money of investors was siphoned off by the accused persons for their personal gains.

The underlying business of Cloud Particle, based on the sale and lease back model (SLB model), was found to be substantively non-existent and grossly overstated to cheat the investors. It is also revealed that no rental amount or insignificant amount is received from the data centre clients, as the entire business of the Vuenow group was found to be only a money rotation scheme, the ED statement further added.

The total money collected from the investors in lieu of sale of cloud particles was found to be ₹3,700 crore out of which ₹1,800 crore were returned to investors in the form of rent and remaining proceeds of crime (POC) were utilised for other than business purposes and further diverted by Vuenow Infotech Private Limited and group companies in giving high commissions to the channel partners, purchase of various luxurious vehicles, gold and diamonds, routing of funds to the tune of hundreds of crores through shell entities and investment in properties.

During the investigation, POC, in addition to the earlier attached, seized movable and immovable properties, valued at ₹19.10 crore, were identified in the form of immovable properties, fixed deposits and listed stockholdings.

"Immovable properties belong to Sukhwinder Singh Kharour, Nitin Srivastava and his wife Ruchi Srivastava and the family members of Vijay Jha, accountant of Vuenow Group. Stockholdings are of Sukhwinder Singh Kharour and Dimple Kharour," the ED added.

Earlier, assets worth ₹178.12 crore in the form of bank balances, vehicles and immovable properties were attached vide provisional attachment order dated February 6, 2025. More assets worth ₹73.72 crore were also frozen during the search operations on August 14, 2025.

During the investigation, accused Sukhwinder Singh Kharour and Dimple Kharour were arrested on February 28, 2025, and another accused, Arif Nisar, was arrested on February 24, 2025. All are presently under judicial custody. Subsequently prosecution complaint against them and their related entities was filed before the PMLA Special Court on April 24, 2025. Further investigation is in progress, ED added.

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