The Ghaziabad police arrested Mohit Goel, the Director of Noida- based company Ringing Bells – Freedom 251 smartphones seller, in a fraud case.
In a FIR, Ghaziabad based Ayam Enterprises alleged that Ringing Bells defrauded it of Rs 16 lakh.
Ghaziabad Deputy SP Manish Mishra confirmed that Mohit Goel has been detained for interrogation in the matter.
Ayam Enterprises has claimed that it took distributorship of the Freedom251 phones in November 2015 as Goel and other persuaded them.
The FIR states that Ayam Enterprises paid Rs 30 lakh to Ringing Bells but in return product worth Rs 13 lakh was provided to them.
It also claims that the owners of Ayam Enterprises were threatened with life while asking for remaining money.
Ringing Bells had launched Freedom 251 handsets, the world’s cheapest, via its website in February last year.