Rs.50 lakh of trading firm seized from trio
Posted on June 6th, 2013 at 12:55 AM and last modified on June 9th, 2013 at 9:27 pm.
The District Crime Branch (DCB) police on Tuesday seized Rs.50 lakh given to three persons by the owner of a private trading firm here, accused in a case of financial malpractice, to purchase land.
The DCB police had already arrested the owner of the trading firm M.Muthusamy (24) of Makkinaickanpatti in Reddiyarchatram union.
DCB Inspector R.Pandiarajan said 950 investors had invested Rs.8 crore in the firm which promised an attractive interest on deposits. Muthusamy had given Rs.1 crore from the deposit amount as advance to Karuppusamy, Krishansamy and Dhandapani, all vegetable merchants in Oddanchatram, to buy 27 acres of land worth Rs.3.5 crore from them.
When the investors pressured Muthusamy to repay their money, he got Rs.50 lakh from the trio and tried to repay. In the meanwhile, the police arrested him, Mr.Pandiarajan said. On information provided by Muthusamy, the DCB police seized Rs.50 lakh from the land owners.
Source: The Hindu