Two people were detained on Tuesday by the Central Crime Branch (CCB) of the Greater Chennai Police in connection with a scheme to defraud multiple investors out of more than 4.80 crore. The CCB is using elite units to track down the last three fugitives.
According to the police, a group of investors filed a complaint with Commissioner of Police Shankar Jiwal alleging that a business called Goleacha had solicited investments in a dairy company with the promise of substantial returns. The promoters took in Rs. 5.74 billion from investors but never gave it back.
Mr. Jiwal asked the CCB's Entrustment Document Fraud (EDF) division to look into the allegation. S. Sundararajan, S. Mageshkumar, Mahalakshmi, Karthikeyan, and Muthukumar, the owners of the dairy company, were found guilty of investor fraud after a police investigation.
Sundaarajan and Mageshkumar were apprehended by the CCB squad while the other three were still at large. After appearing before a judge, the pair were each given prison sentences.