Bengaluru: The sleuths in the Criminal Investigation Department (CID) probing the financial frauds in the State over the last decade, have found that many people, who have lost money, are yet to approach the Police and help in the investigations.
CID ADGP Pratap Reddy on Saturday told media persons that it has filed 422 cases against 10 firms over the last 3 years. The firms are accused of cheating nearly 18 lakh investors, who had invested Rs. 3,273 crore in those projects. So far, over 100 people, including those working in the companies and their promoters, have been arrested and sent to Judicial custody. Most of the customers were allegedly duped of plots in their projects Reddy said.
“We have initiated action against 10 major companies — Agri Gold company, Hindustan Infracon, Seven Hills, Dreamz Infra India Co, TGS Construction Ltd., Gruha Kalya, Vruksha Business, Harsha Entertainment, Mythri Plantation & Horticulture Ltd., and Green Buds Agro Farm Pvt. Ltd., These firms had convinced people, most of whom were retrieved Government employees, ex- servicemen , private company personnel and businessmen, to invest in their firms to get property at cheap prices.” Reddy said.
The cases were filed from 2013 to 2016 and investigated by CID officials, he said and added that the CID has recommended the Government to take further action against these real estate firms.
CID DGP H.C. Kishore Chandra said people are falling victim to such fraudulent companies since they advertise big in media and the internet, showing celebrities offering handsome returns to the deposits.
“Initially for a few months, the companies would offer sites or attractive returns on the deposits. But once the investment reaches several crores, they wind up business,” Kishore Chandra said.
The CID is striving to recover the money and return it to the investors. It has recommended to the Government to auction confiscated properties so that money could be retuned to the victims, he added.
Meanwhile, the CID officials have appealed the investors to come forward and file a complaint, as many investors are yet to approach the investigating agency.
Victims can contact the CID office on 080- 22942444 or e-mail: [email protected], for help.
Investors can verify the authenticity of companies on the newly launched website — www.slcc.kar.nic.in to ascertained if the companies have the required authorisation.
Collected money splurged on parties, luxury cars: CID ADGP Pratap Reddy said those collecting money from these businesses, had splurged the money in hosting parties for celebrities who included cricketers and film actors, buying luxury cars and film production. They had also put the money in fixed deposits in several banks, he said.
Pointing out that over 40 CID officials were involved in the probe, the ADGP said they gathered statements and documents from thousands of victims as evidence.