Major Crackdown on Shivam Associates: Uncovering the Multi-Crore Investment Fraud

Authorities have arrested Shivanand Neelannavar, the owner of Shivam Associates, amid an extensive crackdown on investment fraud in Belagavi. Officials disclosed the arrest following multiple allegations of unregulated financial activities linked to the firm.

The Belagavi district administration and police unearthed the suspected fraud, with Shivam Associates accused of collecting funds from approximately 35,000 investors without necessary approvals from the Reserve Bank of India (RBI) or the Securities and Exchange Board of India (SEBI). The investigation has been lodged under the Karnataka Protection of Interest of Depositors in Financial Establishments Act and the Banning of Unregulated Deposit Schemes Act.

Further action was prompted by a complaint filed at Malmaruti Police Station after an inquiry into the firm's operations. Authorities are conducting detailed audits with professional experts to determine the full extent and impact of the fraud. Preventive measures are being enforced to mitigate any wider destabilizing effects across local markets.

(With inputs from agencies.)