The Enforcement Directorate (ED) has arrested Instagram influencer and self-proclaimed entrepreneur Sandeepa Virk in connection with a ₹40-crore money laundering case that has rocked both the entertainment and corporate sectors. Virk, who boasts over 1.2 million followers on Instagram, is accused of using a fake e-commerce business, hyboocare.com, as a front to launder illicit funds. The website, which claimed to sell FDA-approved beauty products, reportedly had no genuine operations, inactive contact channels, persistent payment failures, and no traceable corporate information.

The case originated from an FIR in Mohali under IPC Sections 406 and 420, where Virk was accused of defrauding individuals through misrepresentation and false promises. ED raids conducted in Delhi and Mumbai uncovered documents linking Virk to Angarai Natarajan Sethuraman, former director of the now-defunct Reliance Capital Limited. Investigators allege that in 2018, public funds worth around ₹18 crore were irregularly disbursed from Reliance Commercial Finance Ltd to Sethuraman, along with an additional ₹22 crore home loan, both in violation of banking norms. Portions of these funds were allegedly siphoned off for personal use, with the laundering trail leading back to Virk’s operations.

Searches at Sethuraman’s residence allegedly confirmed his involvement in illegal financial dealings, though he has publicly denied any connection with Virk. The ED has seized incriminating documents, recorded multiple statements, and placed Virk in custody under the Prevention of Money Laundering Act (PMLA) until Friday. The agency has also identified other possible suspects linked to the case, suggesting the investigation could widen in the coming weeks. This high-profile arrest has not only exposed the alleged misuse of social media influence in large-scale financial crimes but also underscored the growing scrutiny of influencer-led businesses operating without legitimate commercial foundations.