SFIO gets time till Dec to complete Saradha scam probe

We have received one interim report on 54 companies: Sachin Pilot

The government has given time till December to the Serious Fraud Investigation Office (SFIO) to complete its probe into the alleged fraudulent money pooling schemes run by 54 entities, including Saradha group. A special task force of SFIO recently submitted an interim report to the Corporate Affairs Ministry in this regard. 

Sources said the ministry has given time till December to SFIO for completing the probe.

SFIO, which comes under this Ministry, was asked to probe the matter in April this year in the wake of massive public outcry over the scam perpetrated by Kolkata-based Saradha group that duped investors of thousands of crores.

Apart from Saradha group firms, SFIO is probing entities from various other groups including Rose Valley, Icore E-Services and Sunshine India Land Developers.

Fourteen Saradha group entities including Saradha Realty India, Saradha Agro Development, Saradha Exports, Saradha Construction Company and Saradha Garden Resorts and Hotels are under the scanner.

Besides, nine entities from the Sunshine India Land Developers group, 11 from the Icore E-Services group and 19 from Rose Valley group are being probed.

"We have received one interim report (from SFIO) on the 54 companies," Corporate Affairs Minister Sachin Pilot had said last month.

There have been difficulties for SFIO in getting data about the companies under investigation as they have not been very forthcoming in sharing information.

There were public protests over the Saradha case, which came to be known as 'chit funds scam' in West Bengal and other Eastern and North Eastern states, even though the suspected entities were not actually registered as chit funds.

Separately, an Inter-Ministerial Group (IMG) is working on guidelines to tackle the menace of illegal money-raising activities or ponzi schemes that are mushrooming in different parts of the country.