Hyderabad: Case booked against private finance firm, directors over alleged fraud of ₹200 crore

As per the FIR, though the directors paid monthly returns regularly until January 2024. However, payments stopped thereafter.


Published May 21, 2024 | 9:41 AM Updated May 21, 2024 | 9:41 AM


A case was booked against a private finance firm and its directors in Hyderabad, on Monday, 20 May, following a complaint that they allegedly duped over 400 depositors to the tune of ₹200 crore promising high interest rates, police said.

Police registered the case based on the joint complaint by a 70-year-old man and others, who invested in the firm.

Police said based on the complaint a case was registered against the firm and its directors and others under Sections 406 (criminal breach of trust), 420 (cheating) and other sections of the Indian Penal Code and under relevant provisions of the TSPDFE Act at Central Crime Station (CCS)—a wing of Hyderabad Police and further investigation was on.

The elderly man in the complaint said two directors of the firm, whose office is located in Abids in the city, explained their investment schemes promising returns of 18 to 24 percent on the deposited amount.

Believing their assurances, the complainant deposited ₹6 lakh between 2012 to 2015.

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The complaint

The complainant further alleged that the wife of one of the directors, who is working as a General Manager of a co-operative bank in Hyderabad, marketed all the customers using her position in the bank.

As per the FIR, though the directors paid monthly returns regularly until January 2024. However, payments stopped thereafter.

When the complainant visited their office, it was found closed and he discovered further that several more victims had also deposited amounts in the same firm, and they all attempted to contact the directors, but failed as their phones were switched off.

The residence of the directors was also found locked and that their whereabouts were unknown, the FIR said.

The complainant further alleged that it was found that the directors of the finance firm had cheated with criminal intent and taken deposits from around 400 to 500 people and defrauded them to the tune of ₹200 crore, and absconded with the deposited money.

He requested the police to investigate the matter and take necessary action and recover the “defrauded” amount.

Earlier, a large number of depositors also gathered at the CCS over the issue.

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