The Andhra Pradesh Police CID has registered three FIRs against Margadarsi Chit Funds Pvt Ltd (MCFPL) for several alleged irregularities and making use of ghost subscribers to siphon off legitimate subscribers' money, a police official said.
N Sanjay, Additional Director General of Police (ADGP), CID, alleged that Margadarsi was running chit membership without the knowledge of some people and impersonating common citizens (ghost subscribers) to siphon off money.
Also Read | Andhra Pradesh government issues order to attach assets worth Rs 793 crore of Margadarsi Chit Fund
"Large number of subscribers are turning up with complaints of non-payment of chit money and undue harassment for sureties which necessitated booking FIRs," said Sanjay addressing a press conference at AP police headquarters in Mangalagiri on Sunday.
The Registration and Stamps Department raided 37 Margadarsi branches in the past three days across the state, which resulted in the booking of FIRs at Anakapalli, Chirala and Rajamahendravaram.
Cases were booked under Indian Penal Code Sections 409, 420, 468, 471, 477–A, 120B, 467 read with 34 and Section 5 of Andhra Pradesh Protection of Depositors of Financial Establishments Act.
V Ramakrishna, commissioner and inspector general, Registration and Stamps Department alleged that Margadarsi was engaging its own employees such as agents and branch managers to participate in the auctions.
Based on the documents collected from Margadarsi branches by the department, Ramakrishna alleged that the auction process is being rigged.
Moreover, ADGP Sanjay said the CID has opened a Whatsapp account under the number 94931 74065 for subscribers to lodge complaints.
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.