Illegal chit fund firms cheating Hindupur people
A woman chit organiser had vanished three days ago after collecting at least Rs. 45 crore
Anantapur: At least four unauthorised chit fund organisations in Hindupur have shut down their businesses in the past few months without repaying their subscribers, who mostly comprise middle class people and those owning small businesses.
A woman chit organiser had vanished three days ago after collecting at least Rs. 45 crore in name of chits and deposits from various parts of the district. Similarly, another person reportedly collected around 50 crore and scooted from Hindupur town.
Hindupur is a top business centre for Rayalaseema and surrounding areas in Karnataka. Major transactions have been going on since decades involving silk, tamarind, gold and auto finance. At the same time, finance-related offenses have also been rising.
For example, K. Vijaya Lakshmi of Satyanarayana Peta started an unauthorised chit organisation a few years ago. She regularly collected deposits by appointing agents in surrounding mandals of Hindupur and transacted in monthly chits. She made prompt repayments initially, which led to her business rising in interior mandals like Amarapuram and Gudibanda.
However, she has been absconding since past three days. Her mobile as well as those of her family members are coming switched off. Realising they have been cheated, depositors have started protesting and have also approached police. As per preliminary report, she has to repay at least Rs. 45 crore to depositors, most of whom are middle class sections who have invested money for education and marriages of their children.
Hindupur II Town police have registered a complaint made by victims in this regard.
Vijaya Lakshmi has reportedly invested in properties at Bengaluru city from the amount she has collected.
A financial advisor, on condition of anonymity, told Deccan Chronicle that police simply register cases after such episodes but victims get no justice. “If police act promptly and succeed in catching the person who has absconded after collecting the money, people could get justice,” he remarked.