Co-op building society scam: Two town police question society directors

Kakinada: The Two Town police are probing the Karthikeya Cooperative Building Society scam. They have so far interrogated former manager Hussain, his wife and the society's former director Anjum Sultana.

The society duped 356 customers of a total sum of '21.58 crore. It mobilised deposits from customers, promising them to give higher interest rates than of nationalised banks. Later, the society stopped payment of interest on the deposits and customers lodged a complaint with the district Cooperative department, police said.

The cooperative officials conducted an inquiry and lodged a complaint with the Two Town police.

Police told Deccan Chronicle that the officials lodged a complaint with the station four months back. On Tuesday, Hussain and Sultana were questioned about the society situation and others. The police did not arrest them.

Notably, the Jayalakshmi Mutually Cooperative Aided Society in Kakinada had allegedly duped the customers of '500 crore.