SFO Recovers £300,000 from Fraudster Virendra Rastogi in Continued Effort to Reclaim Stolen Funds

The UK’s Serious Fraud Office (SFO) has recovered almost £300,000 ($350,000) from convicted fraudster Virendra Rastogi, who orchestrated a metal trading scam that defrauded global banks out of nearly $700 million. The funds, recovered from two pension schemes, are part of an ongoing investigation into Rastogi’s assets, which has so far seen nearly £6 million reclaimed.

The SFO continues to investigate Rastogi’s finances in an effort to recover more of the stolen funds. Nick Ephgrave, Director of the SFO, emphasized the importance of pursuing criminal proceeds: “Our work to bring justice doesn’t stop at conviction. We proactively seek out and pursue the proceeds of crime in whatever form they take, from pension pots to luxury watches, to ensure criminals like Rastogi don’t benefit from their crimes.”

Rastogi, who now goes by the name Veerain Kumarr, was sentenced in 2008 to nine-and-a-half years in prison. His elaborate scheme involved fabricating documents and creating fake customers to secure credit, convincing banks that he was involved in large-scale metal trades.

This latest recovery adds to the nearly £6 million seized from Rastogi, which includes assets such as luxury watches and his property in Marylebone. However, the amount recovered is still a small portion of the $360 million that a British court ordered him to repay. Rastogi was declared bankrupt after refusing to pay the full sum.

The fraud, which spanned multiple countries including the UK, US, Dubai, and Singapore, collapsed in 2002 when crucial paperwork was mistakenly sent to the company’s auditors, sparking an investigation. At its height, Rastogi’s operation, which involved 300 fake customers and utilized offices in London to lend credibility to the scam, convinced banks worldwide of its legitimacy.

At one point, Rastogi appeared on The Sunday Times Rich List with a reported net worth of over $200 million. While his brothers and fellow directors have faced various legal consequences, Rastogi remains the focus of ongoing investigations by the SFO. Nick Ephgrave reiterated the agency’s commitment to tracking down Rastogi’s criminal gains, emphasizing that efforts to recover the proceeds of crime will continue.

By fLEXI tEAM