CID probes multi-state Rs.10k-cr 'chit-fund' fraud
Bhopal/Jabalpur, Aug. 25 -- The Madhya Pradesh Criminal Investigation Department (CID) has unearthed a suspected chit-fund fraud involving more than Rs.10,000 crore and nearly 35 million investors across 17 states, officials aware of the matter said on Monday. Owners and officials of 10 companies have been booked in the case, they added.
According to CID officials, the accused floated fake companies under different names in several states and lured people with promises of doubling their investments within a short period. "They collected deposits through local agents and managers, while funds were ultimately transferred to company owners," said a CID note.
In Madhya Pradesh alone, more than 210,000 people invested Rs.492 crore in the compani...
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