Friday, 21 January 2011

Duck Development Society vanishes with Rs. 500 million

The organisers of Duck Development Society has decamped with Rs. 50 crore public money much to the chagrin of hundreds of thousands of investors. The Corporate Frauds Watch informed the police of Gadval, a small town in Telangana area of Andhra Pradesh last year that it is a fraud and is going to cheat people. For reason better known to them the police kept silence over the issue and now people have become victims.
The Prakasam district-based Society induced the gullible to invest in their duck rearing units all over rural areas of Andhra Pradesh with handsome returns. It had even given post-dated cheques to the investors. In all pyramid schemes, the organisers repay the early investors from the money invested by the latest investors. Here also is the same case.
Attracted by the huge returns, people invested heavily and now they are crying over the shoulders of one another.
The modus operandi of these tricksters is age old. The investors have to pay Rs. 21,000 and they would get back Rs. 36,000 in about 100 days. The organisers of the scheme said that they would purchase ducklings in the name of the investors and rear them for three months. After three months the grownup ducks would be sold and the investor would be paid out of the sale proceedings.
The organisers have procured sprawling premises to rear ducks with the money from the investors and started payments to the early investors. Naturally, the money started pouring in.
Last year Corporate Frauds Watch has taken up the issue with the police officials. The CFW was directed to contact the circle inspector (CI) of Gadval town and the CI assured prompt action over the complaint of the CFW. The CFW told the police that the organisers of the Society could approach any Commercial Bank for implementing their scheme if it is that profitable. The Bankers would be too happy to finance the scheme. Instead they have chosen to raise deposits from public which is against the laws of the land, the CFW has argued with the police. It is all in vain now.
The investors in Ongole, the district headquarters of Prakasam district launched an agitation demanding back their investments. There is little chance they would get back their investments.

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