Chit fund turns ‘cheat fund’, operators decamp with Rs.70 lakh

Hyderabad: Though there have been regular reports about unregistered chit fund operators fleeing with crores of rupees belonging to gullible investors. But that does not seem to deter people who continue on the same path of risky investment.

In another such incident of ‘cheat funds’, two ‘chit operators’ from Laxmiguda Housing Board Colony in Mailardevpally fled with Rs. 70 lakh duping the investors from the same locality.

Police said, local residents Naveen Chand and Aravind collected money nearly Rs. 70 lakh from 50 residents in the locality in the guise of chit operations. As the ‘operators’ were not seen in the area for 10 days, the chit members lodged a complaint with the police after realizing that the ‘operators’ had decamped with the collected money. Police registered a case against the fraud by unregistered chit fund operations and the probe is underway.