Karnataka Police Uncover Multi-Crore Ponzi Scheme: Arrest Made
A massive deposit scam in Karnataka has been unveiled, leading to the arrest of Shivaanand S Neelanavar, head of Shivam Associates. Accused of orchestrating a Ponzi scheme, Neelanavar attracted substantial public deposits with the promise of high returns. Authorities have initiated an investigation and frozen associated bank accounts.
- Country:
- India
A significant deposit scam involving multi-crore rupees has surfaced in Karnataka, resulting in the arrest of Shivaanand S Neelanavar, the operator of Shivam Associates. The firm, also known as Acumen, lured thousands of investors with promises of a 36 percent annual return in a classic Ponzi scheme.
Belagavi Police Commissioner Bhushan Gulabrao Borase stated that the case involves substantial fraud, affecting more than 35,000 depositors. The case is being transferred to the Crime Investigation Department (CID) for further scrutiny. Additionally, Neelanavar's offices and residences are under search as part of the ongoing probe.
In response to growing complaints, district authorities had initiated inquiries months ago. The investigations unveiled suspicious financial transactions and unregulated deposit mobilization. Authorities have now frozen several bank accounts linked to the scam, which reportedly involved transactions worth thousands of crores.
(With inputs from agencies.)
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