A gold finance firm reportedly duped its customers to the tune of Rs.20 crore. The fraud came to light when the company failed to return the gold jewellery pledged to it, even after a customer repaid the loan amount.
Ch. Jeevan started Jeevan Financial Solutions at Maddilapalem two years ago. He attracted the public by offering gold loans at a lower rate of interest.
He reportedly downed the shutters and left for Hyderabad, according to victims M. Venkateswara Rao, GH Srinivas and some others here on Thursday.
Mr. Venkateswara Rao said he had borrowed a loan of Rs.24 lakh from the firm by pledging 1,000 gm gold ornaments between December 24, 2013 and March 12, 2014. Though he had repaid the loan amount along with interest, the firm had failed to return the ornaments.
Some of the victims had lodged a complaint against Jeevan and his team members Sankar and Srinu alias Bujji, the police are yet to get any concrete evidence against the accused as they had fled to Hyderabad. The victims said the accused had sold gold ornaments of some of the customers to another finance company in Rajahmundry.
The accused had reportedly started gold finance business in Hyderabad. The victims appealed to the police to nab the accused.