J&K crime branch submits charge sheet in chit-fund scam

The Jammu and Kashmir crime branch today submitted a charge sheet in connection with Vikrant Finance Company chit-fund scam for allegedly duping its depositors, official said.
The charge sheet was presented before the Court of Chief Judicial Magistrate in Rajouri by the crime branch of J&K police, the official said.
The main accused of the scam, who was absconding for the past eight months, had been arrested from Jammu and Kashmir's Rajouri district on May 29.
"The crime branch has received a complaint from the Reserve Bank of India stated that Vikrant Finance Company was flouted in Rajouri by accused - Kewal Koul, Kamal Kumar, Rakesh Kumar and Ashwani Kumar - under the notion that it was registered with the RBI and the Registrar of Companies, and collected money from the people," SSP Crime Mubassir Latifi said.

The company started accepting deposits from the public after alluring them of high rate of interests and also advanced loans to different borrowers.
But when it turned defaulter and bankrupt, the accused persons started harassing the borrowers and the depositors on one pretext or another and closed their establishments after duping the innocent depositors of their hard earned money running in crores of rupees, he said.
During the investigation, the officials found that the company was started in 1995 and turned defaulter by 2012, with a liability of over 8 crore which belonged to the poor depositors.
"So far over 98 lakh have been recovered and seized by Crime Branch Jammu," he said.