BENGALURU: A 47-year-old woman entrepreneur has filed a police complaint stating that a man had cheated her of over Rs 1.2 crore under the Make-in-India scheme. In her complaint, Neelima, the businesswoman, accused Ashwath Hegde, founder of a start-up manufacturing plastic substitutes, of cheating her after she paid him Rs 74.25 lakh for a franchise of his company.
She said Hegde made her invest money promising 47% annual returns along with 30% subsidy under the scheme. Hedge also promised her of providing raw material, machinery and skilled workers to manufacture biodegradable carry bags.
Neelima said she was introduced to Hegde by their common friend Dr Sujith in 2018. She and her husband Balaji visited Hegde’s office on MG Road and held discussions with him on her investment. Hegde promised her that she would receive 47% annual returns on her investment and Rs 50,000 each month for two years as per the franchise agreement. He also assured her that he would pay her the money for two years.
Neelima said that she initially invested Rs 50 lakh. The project got delayed due to the Covid-19 pandemic. It only started functioning in May 2020. Hegde then informed her about starting another startup in Hosur and offered her a partnership along with his sister. Accordingly, she invested Rs 24.25 lakh in the new venture.
She said the machinery provided to her was of poor quality and workers lacked the production skills. Hegde gave her only Rs 5 lakh as maintenance fee. Enraged by this, she asked Hegde to cancel the business agreement they both had signed. Hegde initially requested a few months to return her money stating that he had launched another startup in Tumakuru along with his wife and sister. “But later, he threatened me and my husband to accept whatever money he gives and not to meet him again,” Neelima said.
He returned only Rs 20 lakh of the promised Rs 1.2 crore, she alleged. The Ashoknagar police said they have asked Hegde to appear before them with the franchise agreement and other documents related to the investment Neelima made.