Andhra Pradesh police swooped on a meeting at Ongole in Prakasam district in Andhra Pradesh organised by Akshaya Gold group and arrested the agents, members, and office-bearers of the company which has been collecting deposits without any authorisation from the Reserve Bank of India with the offer of huge returns in a short span and huge commission to the agents who collect such deposits.
The Superintendent of Polcice, Mr Raghuram Reddy said that the fraudulent company has been cheating the gullible with the promise of huge returns on deposits and it has no permission from the Reserve Bank of India to mobilise deposits.
So far, it is believed that the company has collected about Rs. 200 crore (two billion) from public.
However, the company owners say that the company has purchased several acres of land with the funds to enable it to refund deposits to the public.
History proved otherwise. Not a single company right from the Golden Forest in the 1990s which has purchased lands with the public money never refunded a single rupee to the public.
So is the case with AgriGold. It is also collecting deposits paying as high as 30 per cent commission to its agents. The intention is clear.