Rs 4.7 lakh recovered in commodity exchange racket, three held

The Delhi Police on Wednesday arrested three people for running a multicommodity-exchange betting racket in old Delhi and recovered Rs 4.7 lakh.

Multi Commodity Exchange of India Ltd (MCX) was established in 2003 as an independent commodity exchange regulated by Forward Markets Commission in India. MCX offers futures trading in gold, metals, energy, and a number of agricultural commodities like mentha oil, cardamom, potatoes, palm oil and others. As per the law. Rs 250 per crore of commodity transaction is paid to the MCX and Rs 100 per crore is paid to the state government.

The arrested men were identified as Krishna, 43, Vishal, 33 and Manish, 38, all residents of Uttar Pradesh. They were betting on the online rates of gold and silver available on teh MCX official website. Police claims the betting syndicate was run by 25 people for the last two years and more than 2000 shopkeepers bet Rs 20-30 crore everyday. “All the accused were cheating the government by evading income tax, transaction tax, service tax by setting up parallel bank accounts,” said additional commissioner of police (crime) Ravindra Yadav. The police is like to make more arrests soon.