Three chit fund executives in Tripura have been sentenced to six years in jail for swindling Rs 5.5 crore from depositors, underscoring the risks of unregulated investment schemes.
Key Points
- Three executives of a chit fund company in Tripura have been sentenced to six years in jail for defrauding depositors.
- The executives swindled Rs 5.5 crore from over 800 depositors through Pragatishil Infra Project Services Private Ltd.
- The CBI court has ordered the attachment of the company's properties to repay the duped investors.
- The case highlights the risks associated with unregulated chit fund schemes and the importance of investor protection.
A special CBI court in Tripura on Saturday sentenced three executives of a chit fund company to six years of rigorous imprisonment each for swindling Rs 5.5 crore from over 800 depositors, a lawyer said.
Court Orders Asset Seizure for Investor Compensation
The special CBI judge, Debasish Kar, also asked the Unakoti district magistrate to attach the properties of Pragatishil Infra Project Services Private Ltd to pay the duped depositors.
The Pragatishil Infra Project Services Private Ltd, a chit fund company, started its operations in Tripura's Unakoti district in 2009 and collected a huge amount from people, assuring "good returns" after maturity, the lawyer said.
Details of the Chit Fund Fraud
"However, the company stopped paying the depositors concerned even after maturity (in 2012). Angry depositors then lodged an FIR against the company at Kailashar police station.
"After conducting a probe, the CBI submitted a charge sheet against three company executives -- Arindam Das (CMD), Dwipsikha Das (Administrative Director) and Paritosh Das (MD) -- in a court at Kailashahar, Unakoti district," Special CBI public prosecutor, Prasenjit Saha, told reporters.
Executives Found Guilty of Misappropriation
He said that during the trial, the court found the three executives of the firm guilty of misappropriating Rs 5.5 crore from around 800 depositors.
"The special CBI court in Agartala today pronounced the verdict, sentencing the three company executives to six years of rigorous imprisonment each under the Tripura Protection of Interests of Depositors (in Financial Establishments) Act, 2000," he said.
Saha said the court has also asked the Unakoti district magistrate to attach the chit fund company's properties and return the money to the duped depositors.
