Hyderabad: A former Sub-Inspector, whose services were terminated for indulging in malpractices during the entrance examination, started a business and looted gullible victims to the tune of Rs 3.9 crore under the guise of providing them investment options with high returns.
Sriram Chinna Gopala Krishna (37) had been operating a racket with 16 others since 2013. He, along with Yerramsetty Satish (30), Pillutla Venkat (37) and Tippani Narsimha (36), was arrested by the Rachakonda Police on Friday. His associates are absconding.
When Gopala Krishna was released from prison, he started a private finance business with an initial investment of Rs 5 lakh, which he borrowed from his father. However, he shut the business down within a year after suffering losses.
He then launched a digital media and advertising company called Tanvi Creations. He began collecting money from investors saying that he was putting it into the liquor business and obtaining bar licenses. He promised that they would receive good returns. A majority of his victims were farmers, students, petty business persons, and IT professionals.
Tarun Joshi, Joint Commissioner said that Gopala Krishna paid his first batch of investors back with handsome profits.
“Then, using the first batch as proof, he collected money from many innocent people. However, he never maintained any records regarding the amounts collected and the returns to be paid to the investors. He would conduct all transactions through his employee, Nunavath Ashok. Gopala Krishna paid only very few people directly,” Mr Joshi said.
He operated seven bank accounts that were registered in his name, his wife’s name, and in the name of his aide, Venkat.
Gopala Krishna’s victims first approached the police and filed a complaint in November 2017. However, after failing to make any progress on the case, the police handed it over to the Rachakonda Special Operations Team (SOT).
As the investigation proceeded, more victims began approaching the police to file complaints. According to the victims, the accused had collected around Rs 3.92 crore from them.
The SOT was able to nab the suspects using technical evidence in a joint operation with the local police. Two suspects, N. Ashok and K. Venkataramana, were arrested earlier. Property worth Rs 13.9 lakh was seized from their possession.