Two Ponzi funds will be shut down, says Bengal government

The West Bengal government would shut down by Wednesday two companies having four of five sister concerns engaged in 'Ponzi' or multi-level marketing schemes, Chief Minister Mamata Banerjee said Tuesday and asserted that it was keeping a watch on similar other companies.

"We have given instructions to close the two companies in 24 hours. We are keeping a watch on other such companies," Banerjee told media persons in the assembly lobby after delivering a speech in the house that followed the passing of a bill aimed at safeguarding the interests of depositors in the state's financial establishments.

However, she refused to name the companies. "If I say anything, it will alert the companies. I will not disclose their names," she said.

Earlier, Banerjee told the house the government was looking into the list of 73 companies named by union Corporate Affairs Minister Sachin Pilot against which the central government has got complaints.

Pilot had named the companies during Question Hour in the Lok Sabha March 14.

Banerjee said her government would keep an eye on the financial establishments to ensure poor investors were returned their money.

The chief minister said her government has taken a timely step to pass the bill to protect the interests of the people and it would be an example for the rest of the nation.

She said the relevant bill would be sent to Governor M.K. Narayanan for his signature May 5 once he returns to the state.

During discussion on the vote of thanks to the governor for his address to the assembly, Banerjee alleged that many files and documents of the earlier Left Front regime were now missing, prompting a walk-out by Left Front members.