Managers of pvt chit fund held for cheating public of Rs 10 crore

CHENNAI: Thiruvallur district police have arrested two persons, managers of a private chit fund, which allegedly cheated public to the tune of more than Rs 10 crore. The arrested persons were identified as Saranraj (29) of Perumudivakkam in Chennai outskirts and Venugopal (32) of Meyyur in Thiruvallur districts.

Both of them were working in a private chit fund run by Jothi of Thamaraipakkam in Thiruvallur district. Jothi’s wife, Saranya, his brother, Prabhu and other family members were part of the agency run by him and they lured people in and around Thamaraipakkam to invest in their Deepavali chit fund, promising hefty returns.

Police sources said that more than 15,000 people have invested in the chit fund. Each of them have invested up to Rs 10,000 and the gang had absconded with more than Rs 10 crore.

Based on a complaint by the cheated persons, Thiruvallur district police registered a case and arrested the managers of the firm and have launched a hunt for the absconding persons. Further investigations are on.