AP govt to e-auction Agri Gold's assets

AP govt to e-auction Agri Gold's assets

Andhra Pradesh government on Tuesday said it would e-auction the assets of Agri Gold group of companies that defrauded 32 lakh customers of their deposits.

Chief Minister Nara Chandrababu Naidu reviewed the Agri Gold fraud case and ordered the e-auctioning of a company that cheated its depositors of Rs 6380 crore with promise of higher returns or developed housing plots in AP and other states.

Though the crime took place during the Congress regime in the united AP, the TDP government that took charge after 2014 acted against the company.

Finance Secretary Dr P V Ramesh announced e-auctioning of Agri Gold land after reviewing the report of the select committee headed by renowned cost accountant Dr K Narasimhamurthy mandated to review revival of loss making cooperatives and NBFCs.

Following a CID probe, state government in February attached properties of Agri Gold companies consisting of 16,857.81 acres and 82,207 sq-yards of land in AP and other states, 2.5 kilogram of gold, Rs 7.5 lakh cash and 54 four-wheeled vehicles.

VR Rao, who founded the now extinct Golden Forest Ltd that lured several depositors with the promise of easy and quick money, is facing criminal charges. Even as the company defaulted on its promise to return the money, its representatives told investors that their deposits are safe since the company owned huge tracks of land across the country which it could encash.