Erode textile firm owner, wife held for Rs 49.25 L fraud
Police said Maniraj had advertised seeking investors to set up shops to sell his brand of garments across Tamil Nadu.
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COIMBATORE: The Erode police on Monday arrested a textile firm owner and his wife for duping an advocate of Rs 49.25 lakh by promising to give him franchise rights to establish shops and sell his brand of clothes.
The complainant Arasaprabakaran, 44, an advocate from Tiruchy had approached C Manikandan alias Maniraj, who owns a popular clothing brand, seeking franchise rights.
Police said Maniraj had advertised seeking investors to set up shops to sell his brand of garments across Tamil Nadu.
“Trusting him, Arasaprabakaran paid a total of Rs 61 lakh in two installments by issuing cheques. However, Maniraj didn’t take any steps to set up shops as promised and also failed to give a proper reply,” police said.
When there was a long delay, the advocate insisted that he return his money back. Police said Maniraj gave back Rs 11.75 lakh alone and then went into hiding. Based on a complaint, the Chithode police registered a case and launched a search. Acting on a tip, the police picked up Maniraj and his wife Shanthi, 52 from Kalingarayanpalayam South Street. Maniraj was also an accused in the emu scam. A search is on to nab their daughter and son-in-law who also conspired with them in the fraud.