Hyderabad: Central Crime Station registered a complaint against former IAS officer for allegedly duping people of Rs 4.8 Crores through a fraudulent investment scheme.
The complaint was filed by retired IPS officer 1980 batch ( undivided AP) K Ch Venkata Reddy, who was DIG of CID before superannuating as an IG in 2000, stated a group of fraudsters comprising of a retired IAS officer of 1980 batch have duped nearly 30 investors including him and some of his family members.
“The four fraudsters including a retired IAS officer of Tamil Nadu cadre who worked as a secretary to Government of India started a company in Bengaluru on July 3, 2015 and floated a shell company in Banjara Hills. The managing committee of the company widely publicized that their firm will provide the payment solutions to enable the merchants to accept debit/credit card payments. They also claimed that their product was ready for launch,” Venkata Reddy said.
“The fraudsters told the investors that
under their proposed buyback scheme, shares of the investors will be purchased
back within a period of one year during the exit window. The fraudsters
promised that the investors who opt for buy back scheme during the exit window
will get 4.88 times returns over their investment,” the complaint stated.
As many as 30 people fell prey to the fraud scheme and invested 4.8 crore during 2016-17 under buy back scheme of shares hoping that they will get fives times more.
“After the end of stipulated time period on
December 31, 2017, investors asked the chairman of the company to pay the
promised amount. The chairman said that they had entered into a business deal
with a US based company and the amount will be paid to us soon. When they kept
postponing the payment, we contacted the CEO of the said US based company and
on April 30, 2019, received a reply from the CEO stating that there was no such
deal between them and the company of the fraudsters,” the complainant alleged.
“I have forwarded the complaint for a preliminary enquiry,” CCS DCP Avinash Mohanty said on Monday.