Cyberabad EOW arrest one person in Rs 2.79 crore chit fund scam

Rangareddy (Telangana) [India], November 26 (ANI): The Economic Offence Wing (EOW) Police of Cyberabad arrested a person who was involved in Cheating, Criminal Breach of Trust and collected money from chit customers.
The accused was identified as Appampally Surya Pratap Reddy. He is a resident of Chanda Nagar, Serilingampally Mandal, Ranga Reddy District.
According to a police official as quoted in a press release, "The accused person A. Surya Pratap Reddy is running monthly unregistered private chits in his house at Chanda Nagar. The accused has been maintaining monthly chits for 14 years. He built lots of trust and confidence and faith in the residents of his locality and surrounding areas of Miyapur, Kukatpally, Patancheruv. Believing them the number of people become subscribers of the chits. The accused used to maintain Rs 1 Lakhs, 2 Lakhs, 5 Lakhs, 10 Lakhs and 25 Lakhs chits on a commission basis. The accused collected an amount of Rs. 2,79,57,438 from 80 subscribers in the name of monthly chits. All of sudden the accused closed his house and escaped from the locality. Reddy was arrested at Kharmanghat."
In the aftermath of this case, the Cyberabad EOW Police has issued a public advisory stating to be aware of private chit-funds and not to become subscribers to any unregistered chit-funds, mentioning that the department is committed to prosecuting fraudsters, and cheaters and ensuring justice for victims, the release said.
The case has been registered and is being investigated by S. Murali Krishna, Asst. Commissioner of Police, Economic Offences Wing PS, Cyberabad under the supervision of K. Prasad, Dy. Commissioner of Police, EOW, Cyberabad, added the press release. (ANI)