The Central Bureau of Investigation on Friday took custody of Gautam Kundu, chairman of the Rose Valley Group of Companies, >arrested in connection with the chit fund scam in Kolkata .
“He was produced before the special CJM court, Bhubaneswar, and was remanded till February 2,” a CBI official told The Hindu .
This is the first time that the CBI has got the custody of Mr. Kundu, arrested by the Enforcement Directorate in March 2015. It is alleged that Rose Valley had illegally collected about Rs.10,000 crore from the public.
The charges against Mr. Kundu and his associates include criminal conspiracy (Section 120 B of the IPC) cheating (Section 420 of the IPC) along with Sections 4 and 6 of The Prize Chits Money Circulation Schemes (banning) Act.
“Further investigation is continuing on the role of the accused, the role of regulatory agencies, the larger conspiracy and the money trail,” the CBI said.
