Diwakar Reddy (43) of Balepet, Rajesh (27) of Jayanagar, Nachaiah (33) of Vidyaranyapura, Mohammad Yusuf Khan (32) of Koramangala and Apparvalsangh (31) from Uttar Pradesh are the arrested. Prime suspects Shivakumar and Hemalatha are absconding.
They set up Enlite Infra Foundation Limited at Koramangala two months ago and operated chain-link scheme, without obtaining permission from the Reserve Bank of India and other departments as required under the Chit Fund and Money Circulation Act.
The suspects used to ask the customers to register for the chain link by depositing Rs 5,999 or Rs 6,999 and get more money by introducing other people to the chain. In a short span of two months, they collected crores of rupees, the police said. Police also took the two body guards of Shivakumar into custody and seized a pistol, a revolver and 15 bullets.
Another incident
In a similar incident, the police arrested five persons and seized three cars, 10 cellphones, 45 wrist watches, computers, credit and debit cards - all worth Rs 15 lakh.
The police arrested M K Ramesh (34) from Marenahalli, Gil Roy (52) Muthyalnagar, Suresh K R (28) of Meenakshinagar, M Panneer Selvam (39) of Mudalpalya and Shanthamma (37) of Rajajinagar from Symcon office on the West of Chord Road. The suspects had allegedly collected Rs four crore from 16,000 persons claiming that they offer various insurance policies. They had promised attractive gifts to the policy-holders for enrolling more members for the scheme.
