Investment Co chief, wife booked for fraud of Rs 200 crore

A case has been registered against a chairman of an investment company and his wife, who holds the post of director, for allegedly committing a fraud to the tune of about Rs 200 crores, police said today.
The two had floated an investment company and expanded into business of retail stores, edible oil, milk and several branded products.
They allegedly duped gullible investors while promising them high returns with an interest of up to 12.50 per cent, police said.
About Rs 200 crores were collected from across the Vidarbha region and mostly retired government servants and businessmen fell into the trap, they said.

Police received a number of complaints in this regard following which the Economic Offences Wing (EOW) conducted an investigation.
Subsequently, offences under relevant sections of cheating and criminal breach of trust under IPC (406, 420, 34) and provisions of Maharashtra Protection of Investors Deposit Act, 1999, were registered against the couple last night, police said.
No arrest has been made so far, they added.