Hyderabad Police Crack Down on QNET Pyramid Fraud, 5 Arrested from Goa Resort; Luxury Cars and Digital Evidence Seized

In a major crackdown on an alleged QNET pyramid fraud and illegal multi-level marketing (MLM) money-circulation scheme, the Economic Offences Wing (EOW) Team-I, CCS, Detective Department, Hyderabad arrested five Independent Representatives of QNET from Novotel Resort & Spa, Candolim, Goa, on July 18, 2026. The arrests followed a complaint alleging a multi-lakh fraud, leading to the seizure of three luxury vehicles and key digital evidence. The case remains under investigation, while efforts are underway to arrest the remaining absconding accused.

Case Registered Under Multiple Laws

Police registered Crime No. 158/2026 under the following provisions:

• Sections 318(4), 316(2) read with 61(2) of the Bharatiya Nyaya Sanhita (BNS)
• Sections 3 & 5 of the TSPDFE Act
• Sections 3, 4, 5 & 6 of the Prize Chits and Money Circulation Schemes (Banning) Act, 1978
• Section 66(D) of the Information Technology (IT) Act

The case was registered at CCS, Detective Department (DD), Hyderabad.

Five QNET Representatives Arrested

The following accused were arrested:

1. Mohammed Fawaz (28) – Native of Kozhikode, Kerala
2. Aswin Suresh (27) – Native of Palakkad, Kerala
3. Vinu @ Vinu Johnson D’Cruz (32) – Native of Thiruvananthapuram, Kerala
4. Manoj Ravindran Nair Subbalakshmi (34) – Native of Thiruvananthapuram, Kerala
5. Varikottuchalil Sivarajan Balraj (32) – Native of Kalpetta, Kerala

How the Alleged QNET Fraud Was Reported

According to the police, Sardar Sharanpal Singh filed a complaint on July 16, 2026.

The complainant stated that while searching for gym space in Hyderabad and Bengaluru, he was contacted through Instagram by Mohammed Fawaz.

Police said the accused allegedly persuaded him to travel to Bengaluru on July 9, 2026, claiming to offer a lucrative business opportunity.

After reaching Bengaluru, Mohammed Fawaz and his associates allegedly introduced him to QNET (Vihaan Direct Selling India Pvt. Ltd.), presenting it as a legitimate luxury goods business associated with the QI Group.

According to the complaint, the accused allegedly used fabricated success stories, video presentations, peer pressure tactics, and misleading representations to convince him to invest ₹7.50 lakh.

The complainant further alleged that he was pressured to immediately deposit ₹30,000 as a booking amount to secure a position in the business and obtain entry to an upcoming leadership event in Goa. Believing the representations, he transferred the money through UPI to Mohammed Fawaz’s HDFC Bank account.

Later, after discussing the matter with his wife and a friend, the complainant independently verified the business and discovered that QNET had been widely reported in connection with alleged money-circulation and pyramid scheme activities.

He also alleged that the accused discouraged written communication, insisting only on phone calls and Zoom meetings, while directing him to maintain secrecy about the business proposal.

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Police Team Arrests Accused at Goa Event

During the investigation, police received credible information that several accused and representatives associated with QNET/Vihaan Direct Selling India Pvt. Ltd. would attend an Ocean 25th Anniversary event at Candolim, North Goa.

A special police team led by the Investigating Officer reached Goa. According to police, some suspects attempted to flee after noticing the police presence.

The police apprehended:

• Mohammed Fawaz
• Aswin Suresh
• Vinu @ Vinu Johnson D’Cruz
• Manoj Ravindran Nair Subbalakshmi
• Varikottuchalil Sivarajan Balraj

After completing legal formalities, the accused were produced before the Judicial Magistrate First Class, Mapusa, Goa, who granted a Transit Warrant for their transfer to Hyderabad for further investigation.

Role of Each Arrested Accused

Mohammed Fawaz (A-2)

Police identified Mohammed Fawaz as an Independent Representative of QNET. He allegedly contacted the complainant through Instagram, recruited him into the scheme, and received ₹25,000 in his personal HDFC Bank account.

Aswin Suresh (A-3)

Police alleged that Aswin Suresh narrated fabricated success stories and claimed to earn ₹3–4 lakh per month to induce the complainant to invest.

Vinu @ Vinu Johnson D’Cruz (A-4)

According to investigators, he explained the binary recruitment model of the scheme and identified the absconding co-accused.

Manoj Ravindran Nair Subbalakshmi (A-8)

Police alleged that Manoj is an upline member to Mohammed Fawaz, Aswin Suresh, and Balraj. He allegedly recruited more than 15 persons into QNET and actively promoted the business through physical meetings, Zoom sessions, and social media platforms.

Varikottuchalil Sivarajan Balraj (A-9)

According to police, Balraj is an upline member to Mohammed Fawaz and Aswin Suresh. He allegedly recruited more than 10 persons into QNET and promoted the scheme through meetings, online sessions, and social media.

Luxury Vehicles and Digital Evidence Seized

Police seized the following during the operation:

• Toyota Fortuner bearing Registration No. MH43AN5698, belonging to A-4
• Kia bearing Registration No. KA05ND7596, belonging to absconding accused Sanu Nair
• MG Hector bearing Registration No. KL38H7007, belonging to absconding accused Vysakh Nair
• Five mobile phones belonging to the arrested accused containing WhatsApp chats, Instagram communications, emails, and financial transaction records

Police stated that efforts are continuing to arrest the remaining absconding accused and identify others connected with the alleged illegal activities.

Hyderabad Police Advisory Against QNET and MLM Schemes

The Hyderabad City Police cautioned the public against participating in, investing in, promoting, or recruiting members for QNET or similar MLM, pyramid, or money-circulation schemes.

According to the advisory, such entities allegedly promise unrealistically high returns and passive income while primarily targeting:

• IT employees
• Unemployed youth
• Homemakers
• Students

Police stated that victims are often recruited through close friends, relatives, or trusted colleagues who exploit personal relationships.

The advisory urged citizens to conduct strict due diligence before investing and reminded the public that business models where earnings primarily depend on recruiting new participants rather than selling genuine and reasonably priced products or services are illegal.

Police also warned that individuals who knowingly or unknowingly join, promote, organize promotional events, or collect money for such schemes can face criminal prosecution under the Prize Chits and Money Circulation Schemes (Banning) Act, 1978.

The public has been advised to immediately report such fraudulent schemes by calling Dial 100 or informing the Hyderabad City Police through appropriate channels.

Investigation Continues

The investigation is being conducted by:

• Sri Raghavender, Inspector of Police
• Sudhakar Rao, Inspector of Police
• SI Deva Suresh
• SI Anil Kumar
• Smt. Radhika and the investigation team

The investigation is being carried out under the guidance of:

• Sri Y. Harish Kumar, ACP (SIT)
• Sri V. Narasimha Reddy, ACP, EOW Team-I, CCS, DD, Hyderabad

The investigation is under the direct supervision of:

• Sri S. Chaitanya Kumar, IPS, Deputy Commissioner of Police, CCS, DD, Hyderabad.

The press note was issued by the Commissioner of Police, Hyderabad City.

In a major action against an alleged QNET pyramid fraud, the Economic Offences Wing (EOW) Team-I, CCS, Detective Department, Hyderabad arrested five Independent Representatives of QNET from Novotel Resort & Spa, Candolim, Goa, in Crime No. 158/2026. Police alleged that the accused lured victims into an illegal MLM and money-circulation scheme through false promises of high returns. Three luxury vehicles, five mobile phones, and digital evidence were seized. The accused have been brought to Hyderabad on a transit warrant, while efforts continue to trace the remaining absconding accused and further investigation is ongoing.