Hyderabad Police bust QNet-linked MLM fraud, 32 arrested

Metro India News | Hyderabad 

A major crackdown by the city police has exposed an alleged multi-crore illegal money circulation racket linked to Vihaan Direct Selling Pvt. Ltd., operating under the brand name QNet. The operation, led by the CCS sleuths of the Detective Department, resulted in the arrest of 32 persons, including 11 women, across Telangana, Andhra Pradesh and Karnataka.

According to police, the company, previously known as Gold Quest and Quest Net, is associated with the Hong Kong-based QI Group and functioned through a multi-level marketing model. The accused allegedly targeted software employees, businessmen, housewives and unemployed youth by luring them with promises of high returns through part-time employment and e-commerce investments.

Victims were reportedly invited to meetings at hotels in Hyderabad’s Hi-tech City, where they were persuaded to invest amounts ranging from Rs 5 lakh to Rs 10 lakh with assurances of earning up to Rs 3–4 crore within two years. Police said the company initially concealed its identity and the MLM structure, later diverting invested funds towards the purchase of products without the investors’ full knowledge.

Investigations revealed that the scheme operated on a binary model, encouraging members to recruit others in a chain-like structure, promising commissions on new enrollments. Officials said such practices fall under illegal money circulation schemes banned by law. So far, 11 victims have been identified across four cases, with losses amounting to around Rs 75 lakh. Efforts are ongoing to apprehend other accused involved in the network.