State mulls law to curb economic offences

The government is considering bringing in comprehensive legislation to check rampant economic offences resorted to by chit fund and real estate companies by offering lucrative interest rates on deposits to customers.

Finance Minister Yanamala Ramakrishnudu said the legislation relating to economic offences in Tamil Nadu and Odisha and punishments awarded for such crimes would be studied in detail for introducing similar rules in the State.

Complaint cell

Mr. Ramakrishnudu also directed officials to prepare a report on all registered institutions.

Mr. Ramakrishnudu, who held a review meeting with officials of Finance and Home Departments and DGP J.V. Ramudu and Intelligence chief Anuradha here on Saturday, said a complaint cell with toll-free number should be provided to the public at the earliest to enable them to report such instances to the government.

“Officials should immediately examine complaints, contact complainants and examine cases and, if necessary, register cases and initiate stern action against dubious companies,” he said.

The Finance Minister also instructed officials to collect and examine advertisements and announcements made by chit fund and real estate companies to verify if such announcements offering high interest rates were in line with the RBI regulations. “If not, suo motu cases should be filed against such companies,” he said.

Publicity campaign

Meanwhile, Information and Public Relations Minister Palle Raghunatha Reddy called for launching publicity campaigns to create awareness among people and prevent them from falling prey to cheating by financial and real estate companies.

Legislation relating to economic offences in Tamil Nadu and Odisha will be studied in detail for introducing similar rules in the State

Yanamala Ramakrishnudu

Finance Minister

Finance Minister suggests a complaint cell with toll-free number for the public to report irregularities to govt.