The Central Bureau of Investigation (CBI) has filed a supplementary charge sheet in connection with the Rose Valley chit fund scam in Tripura against the company’s then Chairman Gautam Kundu and four others.
The CBI on Friday said that the supplementary charge sheet was filed before the District and Sessions Judge in Tripura’s Gomati district against Rose Valley Real Estates and Construction Ltd (RVRECL), Kundu, and former Directors Shibamoy Dutta, Ashok Kumar Saha, and Ram Lal Goswami.
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The investigation revealed that the accused had allegedly collected huge public funds amounting Rs 31.49 crore in the form of deposits by issuing certificates in the names of plot or land bookings, in violation of the Companies Act and SEBI regulations, said a CBI spokesperson.
It was further alleged that the accused formed several other companies under the said Kolkata-based private company and became the Directors of these companies, the spokesperson added.
“The accused diverted the money in the group companies knowingly that these companies were loss-making entities and opened several bank accounts in the name of the company, became signatories of these bank accounts and transferred or diverted the fund as per their own interest,” he said.
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According to the official, probe further revealed that the accused used to publicise the “high profitability” of the group, contrary to the facts and viability of the business.
He said that they appointed huge number of agents, one above the other, and induced them to collect deposits by alluring them with high percentage of commissions and incentives in violation of Companies (Acceptance of Deposits) Rules.
“They used to run an illegal money circulation scheme which was banned under Prize Chits and Money Circulation Schemes (Banning) Act. They also induced the investors in investing money in various schemes of the said private company,” he said.
The CBI official said that the amount invested by the investors was diverted to loss making sister concerns of the group.
“The investors of accused company’s Amarpur Branch, Tripura were cheated through non-refund of their investment and Rs 4.81 crore was allegedly misappropriated by the said accused,” he said.
The CBI had registered the case on the orders of Tripura High Court.