KOCHI: It seems the Kerala Police’s much-hyped ‘Operation Kubera’ and other initiatives to eliminate illegal money lending rackets have not achieved their objective as the Kochi City Police on Saturday busted a multi-crore money laundering racket and arrested three persons.
The arrested are Isakkimuthu, Sidharaja and D Raj Kumar, all natives of Tamil Nadu.The police recovered around 15 promissory notes and 20 blank cheques from them.
According to the officers, the preliminary investigations revealed the racket was funded by a Chennai-based businessman Maharaj. The racket, which had been operating in the state for the past few years, allegedly distributed around `200 crore as short-term loan at exorbitant interest rates across the state, said an officer.
According to the investigation officer, a follow-up probe is on to trace their source of income and the extent of their business in the state. The documents seized from the accused also suggested that they had extended short-term loans to several business establishments in Kochi.
The three men were arrested following a complaint lodged by Jacob Philip, who had borrowed `40 lakh from the money-lending gang in September 2017. According to the police, he had submitted 40 blank cheques, 20 promissory notes and the registration book of his luxury car for availing of the loan.
Though the borrower had duly returned the principal amount along with an interest of `2 lakh within the stipulated time period of 21 weeks, the accused continued to harass him and his family members. Following this, Philip approached the Palluruthy police with a complaint. The accused were booked under relevant sections of the Kerala Money Lenders Act and section 420 of the Indian Penal Code and were produced before a magistrate on Saturday.