Mount Abu based Arbuda Credit Co-operative Society Ltd. came under the radar of Rajasthan and Gujarat police on the allegations of cheating almost 3000 people who are associated with this company.
Members of this company are mostly from Gujarat and Rajasthan and so far 12 complaints were registered in Rajasthan and four in Gujarat Police station after which police inquired about the company and a scam of almost Rs.100 crore surfaced according to Initial reports. The company was carrying out a Ponzi Scheme in order to circulate the money which is similar to that of Social Trade, whose owner has been in the custody for the online scam of 3700 Crores.
The company has 47 branches in Gujarat with its head office at Mount Abu.
After the complaints, Gujarat police prepared a special team under ADGP Anil Pratham for investigating against the company and Rajasthan police seized the primary evidence like hard disk, Laptops, etc.
The owner of the company Rakesh Agarwal and his wife Asha Agarwal are not traceable till now as they are on run since 20 January 2017. According to the reports, a day before they ran away, they made a statement in public to release the maturity money of each and every stakeholder of the society.
The society was founded in 2012 and grew speedily in Gujarat as they targeted the rich state first and then slowly move towards the adjoining state of Rajasthan. It got a license to operate in different states of the country by 2016 and hence made 47 branches in Gujarat.
The offers and Commitments made by Society are:
“They promised 18% interest on my three fixed deposits of Rs 50,000 each. When I went to claim my FDs for the marriage of my three nieces, I found that these were false promises,” said Mohan Bhai, who filed a complaint at Mt Abu police station.
Many of the members were attracted due to the heavy awards and offerings such as Laptops, Gold coins, silvers coins, etc from the company to Gold and Diamond members for reaching the targets assigned to add people to their network.
“All seized material will be sent to FSL in Jaipur for investigation. The exact amount and the number of members will be known only after the report,” said Vijay Pal, deputy SP from Mt Abu.
Police have sought the help of cyber crime expert Mukesh Choudhary who has tracked the servers of the society at Sirohi and Udaipur. These servers have account details and balance sheets of all the branches.
It is again very sad that people who were involved as stakeholders in this society have lost their money again.
It’s definitely the high time that Government must take some prompt action in order to stop such illegal business models in India which could at least save the people’s money which they have earned by doing hard work. Also, if they want to legalize this model of business, there must be a regulatory body in order to handle such issues and so that people could at least get their money back.
We recommend your comments below.