Act against cos which raised money through ponzi schemes: BJP

BJP leader Kirit Somaiya today asked the Corporate Affairs Ministry to look into the activities of about 13 companies which, he alleged, have raised thousands of crores from the public through ponzi schemes.

He presented the list of 13 such companies to  Corporate Affairs Secretary Naved Masood and urged the Ministry to take necessary action.

"I presented him the list of 13 companies, which have raised thousands of crores from the public through (Ponzi) schemes.

"They are registered in different states including Maharashtra, Delhi and West Bengal," Somaiya said after his meeting with the Secretary.

A ponzi scheme is a fraudulent investment operation that gives returns to its investors from their own money and not from profits of the operating companies.

On Saturday, the Centre had said that Sebi, RBI, IT Department and Enforcement Directorate have begun a crackdown on Ponzi schemes and initiated action against Saradha Group under various laws including the Prevention of Money Laundering Act (PMLA).

The multi-agency probe was announced in the wake of media reports which highlighted concerns regarding alleged illegal raising of deposits, especially in rural and semi-urban areas, in Eastern India and duping of the gullible public.

Referring to the 13 companies, Somaiya alleged the firms got themselves registered with ROC (Registrar of Companies), but were not registered with any of the regulators like Sebi or RBI.

"It is pity that such companies are speedily expanding their base and volume," he said, adding such companies using their ROC registration certificate cheat the "youngsters" offering them commission of 15-25% to get deposits from common man.