Andhra Pradesh: ₹7 Crore Chit Fund Fraud Sparks Protest In Pulivendula

The issue arose at Muddanur Road, where retired teacher Shivakashi allegedly defaulted on payments after running chit funds and private lending operations for several years.

Known as a trusted figure, he reportedly collected large sums from residents by offering high interest rates.

According to locals, the accused had built credibility over time, prompting nearly 100 investors to deposit their savings with him. However, the situation took a dramatic turn on Sunday morning when investors found his house locked.

“When we reached his house, we found it locked and a notice pasted outside claiming he was under threat from lenders. We were shocked and helpless,” said one of the victims.

The notice reportedly listed names of individuals who had lent money to him, stating that his life was in danger due to mounting pressure. This has further complicated the situation, leaving the victims unable to confront him directly.

Around 100 victims gathered in front of the house and staged a protest, demanding justice and recovery of their money. Many expressed distress over losing their life-long savings. “We trusted him because he was a retired teacher and had a good reputation,” a victim lamented.

The aggrieved persons later approached Pulivendula police and lodged a complaint. “A case has been registered and we are starting an investigation,” CI Sriram said.

Police sources indicated that the number of affected persons could be higher, with nearly 150 individuals already queueing up with complaints.