Central Crime Branch busts fake CSR funds scam, arrests five

Bengaluru: Central Crime Branch (CCB) sleuths have uncovered a scheme through which the city’s charitable trusts have been swindled of crores of rupees under the guise of CSR funds.

The CCB’s Women Protection Wing (WPW) has arrested five suspects and seized counterfeit currency totalling Rs 30.9 crore. The CCB reveals that the suspects operated through multiple layers in this sophisticated scam.

Kishor, 44, a resident of Agrahara Dasarahalli, emerged as the linchpin holding the team together.

At the behest of Kishor, who identified potential targets and zeroed in on them, two other suspects, Sudhir, 49, and Chandrashekar, 48, were tasked with conducting the fieldwork. This duo would approach selected charitable trusts, falsely presenting themselves as representatives of reputable companies.

The duo would tell the trusts that several prominent companies were eager to donate CSR funds, citing tax benefits, and offered them assistance in receiving these funds. To bolster their credibility, they proposed a commission of 40% from the funds as part of their scheme.

On the trust evincing interest in receiving funds, the suspects would initiate video calls with two people — Theertha Rishi, 28, and Vinay, 42. They would display a bag purportedly filled with cash during the video call, creating the illusion that they possessed the funds.

To initiate the process and arrange a meeting with top companies, the duo would receive a 10% commission from the trusts. Days later, they would arrange a fake meeting, which Rishi and Vinay would attend and dismiss the application of the trusts giving flimsy reasons. They are said to have made money through these commissions.

Kishor is believed to have started the scam after suffering huge losses in the hotel business. He roped in other suspects and established a well-oiled system.

Police are currently in the process of gathering additional information regarding the printing of the counterfeit notes and the route through which they reached the suspects. There is suspicion that the printing may have occurred somewhere in Mumbai since Kishor has been summoned by the Mumbai police.

Kishor, Chandrashekar and Rishi hail from Agrahara Dasarahalli, while Sudhir resides in Basavanagudi and Vinay in Vijayanagar. In addition to the counterfeit currency, police have confiscated genuine cash amounting to Rs 23.4 lakh from them. Authorities have urged other trusts to step forward if they suspect they have been victimised by the same group.

An FIR has been filed under IPC sections 406 (criminal breach of trust), 420 (cheating and dishonestly inducing delivery of property), 489C (possession of forged or counterfeit currency notes or bank notes), 120B (criminal conspiracy), and 511 (attempt to commit offences).