Coming close on the heels of SIMS multi-crore chit fund scam in the City of Destiny, yet another fly-by-night company shut down its office on Monday duping hundreds of its investors.
The management of Sri Chakra Gold Farms and Villas (India) Limited has duped its investors of `50 crore. Organisers of the company are at large. Tension prevailed for some time at the firm’s office near Turner’s Choultry after angry investors ransacked the office and took away furniture and other valuables.
According to police, the company management reportedly showcased their farms as a guarantee for the money invested by their customers. It reportedly promised four times the amount invested. Several people invested amounts ranging from `1 lakh to `5 lakh.
Growing suspicious in the wake of recent chit fund scams, a few investors met the management demanding repayment of their investments about six months ago. However, the management reportedly threatened the investors that they would close down the company and surrender to the police if they force them to repay money.