HC asks government to set up SIT to look into chit funds

The Tripura High Court has directed the state government to set up a Special Investigating Team with the Chief Secretary and the DGP as monitors to look into the activities of chit funds and non-banking financial companies operating in the state.
The division bench of Chief Justice Deepak Gupta and Utpalendu Bikash Saha yesterday directed that other administrative officers would also be included in the committee but the Chief Secretary and the DGP would monitor the cases against chit funds and NBFCs.
A Public Interest Litigation was filed by some depositors of Response Group, an NBFC, in June 2013, seeking direction from the court to wind up the movable and immovable properties of the company and to release their deposits, lawyer Arun Kanti Bhowmik, who appeared on behalf of the petitioners, said.

The court's direction came when the SP of West Tripura district and one Under Secretary of the government Arup Deb requested the court to refer the chit fund related cases to CBI as there were no efficient police officers in the state to deal with the economic offences.
The state government had in 2013 requested CBI to take up 37 cases related to chit funds and NBFCs, but CBI took up only five cases including Rose Valley group.