Firm booked for cheating depositors of Rs 360 cr

CHENNAI: Economics Offences Wing (EOW) - CID police have busted a scam wherein public were promised 15 per cent returns every month for their deposits by a business development consultancy, which has collected around Rs 360 crore from 1500 depositors.

Police have begun investigations against directors of Hijau Associates Private Limited firm, which is said to have orchestrated the fraud. Preliminary investigations revealed that the company failed to repay the monthly interest as well as the principal amount to its depositors.

Subsequently, more than 1,000 persons who had deposited in the company lodged a complaint against the company, after which EOW took over investigations.

Inquiries revealed that the company’s directors used their company’s sister concerns-SG Agro Products, Aruvi Agro Products, Sai Lakshmi Enterprises, Ram Agro Products and RMK Bros to collect money from public.

EOW has registered a case against 21 persons, including the Directors of the company, Alexander and Soundararajan. They have been booked under Sections of the IPC, including 420 (cheating) and Section 5 of The Tamil Nadu Protection of Interests of Depositors (In Financial Establishments) (TNPID) Act, 1997 and Sections 21 (3), 22, 23, 24, 25 of Banning of Unregulated Deposit Schemes Act (BUDS) Act.

Police have arrested one person, D Nehru (49) of Periyar Nagar on Wednesday. He was produced before a magistrate and remanded in custody.

EOW-CID have requested the victims to reach the investigation officer at ‘hijaueowdsp@gmail.com’ if they too were conned by the firm.