One held on charges of running Ponzi scheme in Belagavi
The police have arrested a person on charges of running a Ponzi scheme and duping over 3,000 persons. Investigators from the Tilakwadi Police Station arrested
The police have arrested a person on charges of running a Ponzi scheme and duping over 3,000 persons. Investigators from the Tilakwadi Police Station arrested Arjun Mahadev Waghmare, 36, a resident of Chikkodi, Belagavi district. He is one of the several accused. Police Commissioner Borase Bhushan Gulabrao has formed a team to trace and arrest the other accused. A team led by Circle Inspector Parashuram Pujari is investigating the case. The accused is among the promoters of APPEXX Bizcorp LLP, a trading company accused of collecting around ₹160 crore from people by promising exorbitantly high interest rates.
The company allegedly collected money from the public by promising high returns and invested the funds in the stock market, real estate, and other immovable properties. The complaint alleges that the funds were subsequently misappropriated, resulting in losses to investors. The complaint was filed by Ashok Veerupakshi Bisaguppi, 43, of Kaujalagi village in Gokak taluk. He complained that the firm collected money from gullible depositors by promising interest higher than that of public and private sector banks. The firm had set up its office in Renuka Niwas Apartments in Tilakwadi.
Based on the complaint, the Tilakwadi police registered a case under the relevant provisions of the BDS Act, the IPC, and the Bharatiya Nyaya Sanhita, 2023. Meanwhile, the State government has transferred all earlier cases of financial fraud to the Criminal Investigation Department (CID). Sources in the State CID office said that once the investigation is completed, the details would be shared with the State Competent Authority for financial irregularities and settlement. Depositors who have lost money in these schemes can approach the Authority for settlement. Assistant Commissioner and Sub-Divisional Magistrate Shravan Nayak told reporters in Belagavi on Monday that the decision on refunding investors’ money could be taken only after the CID probe is completed.
After the investigation, the CID and other department officers would request the Competent Authority for settlement and refunds. All documents collected during the investigation would be submitted to the Authority. Depositors can file separate applications before the Authority to seek refunds as per the provisions of the Karnataka Protection of Interest of Depositors in Financial Establishments Act.
The BriefWire