Racket allegedly operated out of Areekode
A group of people who collected deposits from the public to the tune of several crores of rupees at Areekode is reported to have gone underground. Those who got cheated by the group called S.G.S. Agro Farm (later V.K.L. Dairies) alleged here on Wednesday that the group had appointed a large number of unemployed women as agents.
Using women as agents, the group collected monthly deposits from Rs. 100 to Rs. 10,000 from the people of Areekode, Vazhakkad, Mavoor, Edavanna and Kondotty, offering up to 50 per cent profit for a five-year term.
The group had appointed 500-odd agents in and around Areekode. Each of them had enrolled between 50 and 125 investors. The investors are now asking the agents for their money.
A.M. Mustafa from Pattambi and Jayaraj from Areekode headed the group at Areekode. Those who lost money have registered complaints at Areekode, Vazhakkad, Edavanna, Mavoor and Mukkam police stations.
The police have registered several cases based on the complaint. The agents said here that the company owners were influential and no action was taken against them in spite of the complaints. They said that they were coaxed by the offer of up to 20 per cent commission.
They said the company had functioned without any suspicion or problems from April 2009 to July 2013. The owners closed down the firm and went into hiding in July.
Group had appointed women as agents Company functioned from April 2009 to July 2013
Group had appointed women
Company functioned from April 2009
to July 2013