London, Aug 2 - An NRI businessman, who allegedly masterminded 80-million-pound fraud investment operation, has been arrested for duping around 600 people, including celebrities like former England cricketer Darren Gough, actress Francis de la Tour and singer Jerome Flynn.

Chelsea-based Indian entrepreneur Nandan Pruthi and his business partners Kenneth Peacock and John Anderson were arrested after a series of raids by London police, the Guardian reported Sunday.

An unnamed 1960s pop singer is also among the victims while England cricketer Kevin Pietersen has confirmed that he was approached by the suspected fraudsters but decided not to hand over any of his money to them, the newspaper said.

Pruthi and his business partners are believed to have recycled millions of pounds from new investors on to existing ones in order to maintain the illusion of a successful investment strategy generating huge returns. Much of the cash is thought to have been churned through accounts with HSBC.

Monthly payback rates of between eight and 13 percent were said to be available to those making investments with the trio.

Scores of seasoned entrepreneurs and professionals were among those duped by Pruthi, Peacock and Anderson, according to the newspaper. Some victims have been made bankrupt, lost homes or even attempted suicide, according to police.