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Duped investors protest against chit fund companies on streets of Bengal

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ANI Siliguri
Last Updated : Mar 08 2014 | 2:30 PM IST

Thousands of duped investors in West Bengal took to streets protesting against chit fund companies in the state.

People were protesting against fraudulent chit fund companies in the state and also threatened to boycott upcoming general elections, if any action is not taken in this regard.

Over two lakh investors from different parts of Bengal, who have invested 433 crore rupees, are demanding arrest of owners of all chit fund companies.

"Our aim is not only to get money of investors back but also to highlight that there are other chit fund companies also which are duping investors. The government is going after Saradha only, they seized property of Saradha, filed a case but the government is not taking other companies into account. Therefore, through this demonstration, we demand the government to take action and return money of duped investors," said a protester, Udit.

Protesters alleged that they invested in companies after getting assurance from the state government, but now they are not taking any stringent actions.

The state had witnessed an uproar, when Saradha Group went bust in April 2013, wiping out as much as $3.7 billion in deposits from mostly low-income people, miring West Bengal's government in scandal, and illustrating the risks faced by the millions who live outside the banking system.

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Saradha, which until April had at least two high-profile members of parliament on its payroll, lost money in bad investments, and on paying steep commissions to its agents, government officials said.

Saradha ran one of the thousands of unlicensed financial schemes in India, many of which thrive below the regulatory radar with the protection of local politicians, economists say.

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First Published: Mar 08 2014 | 2:13 PM IST

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