Sunday, 4 September 2011

The secret behind opening 12,000 bank accounts within two months

The State Bank of India branch at Palakurthy, a major village in Warangal district and also the headquarters of local administration unit, has acquired the distinction of front runner with opening 12,000 savings bank accounts within a short span of two months among the branches all over India. That is a real achievement for the branch manager.
But when the team of Corporate Frauds Watch including its counsel Mr Mastan Vali and right to information activist Mr V V Rao, visited the village on Saturday, it was revealed that it was only a dubious distinction. A group of villagers approached Corporate Frauds Watch to bail them out from a crisis which was actually a trap they had fallen in.
A real estate firm, Viswa Jyothy Realtors Private Ltd lured them with false promises of daily earnings from their deposits and they had fallen for it. All they have to do is to deposit Rs. 10,000 with the company and the company would repay Rs. 1000 everyday for 40 days. Nobody questioned how Rs. 10,000 would become Rs. 40,000 in 40 days. The real estate company did not reveal the secret how they acquired the magic wand to create wealth. The modus operandi is similar. The villagers were asked to hand over cash to be deposited in one person's account i.e. the franchisee holder. From the next day, the refund installments would start crediting into the accounts of the 'investors'. For that purpose, they all opened savings bank accounts in the local branch of State Bank of India. That is how the bank branch has achieved the distinction of opening 12,000 accounts.
Ranging from Rs 50,000 to Rs. 20 lakh (two million), they deposited with the real estate company and very few of them received some amounts. Meanwhile, the police got wind of the scam and arrested the kingpin behind the racket and seized bank accounts alongside some cash. Now the 'investors' are worried about the police arrests for participating in such money circulation scheme and more for their money.
Not only Viswa Jyothy, there is also Gurudev Realtors Pvt Ltd which has collected several crores of rupees from this village and all over other parts of Andhra Pradesh. The promise is the same and default is also same.
The day long meeting with them revealed one thing. They are still under the illusion that they would get back the promised amount if there was no police interference. It is learnt that the person behind Gurudev Realters is the son a sitting Member of Parliament.
The Corporate Frauds Watch learnt that the villagers have been sufficiently hypnotized by such crooks that they have already taken part in several schemes from the days when Amway entered their village. Of course, now they are disillusioned with Amway and the likes but they are still under the belief that the people who joined first would get good amount of returns and the latter entries would lose their money. There were members of the latest scam of speakasiaonline also among them. 
It is understood that they had lost all human feelings for their friends and relatives. They want to make money first before the scheme is closed. They refuse to think of 'mathematical impossibility'.
This is how the money circulation schemes have been corrupting the minds of people even in the remotest parts of India. It is high time, the Government machinery plunged into action to curb this menace.


Bunny said...

There is another fraudulent network marketing company is establishing its roots in India. Most of the people in our Andhra Pradesh are falling in the trap of this fraudulent company named, " MY VIDEO TALK ( MVT ) ".

THe investment to join in this company is Rs. 16,500. If we join the people under us in 4:2 ratio, then company will give Rs.1000 for each member. So Rs.6000 for 6 people in 4:2 ratio.

I was very surprised about these companies and more over on the foolish people those who invest in it.

Obby said...

Hello Shyam Sir

I am from Mumbai and I have been reading your blogs for quite a few weeks after i came to know that it was your organization that filed a PIL against SpeakAsia. My relative joined speakasia and came to me to join and i explained to him this is a MLM and requested him not to join anyone under his id, after understanding the model he did not joined a single person into this and fortunately there is no downline with him so only his 11k got stuck as he joined in mid April and did not get anything in return.

I want to thank you for your efforts in both informing the world about these fraudlent businesses of MLM and hope you continue your crusade against these cheaters.

SpeakAsia panelist are blinded by their upliners that they go to an extent of calling you fraud but they dont show any proof when asked what fraud you or your organization has done.

As of now SpeakAsia management says they have created a blog to inform their panelist of updates, strange that a company which use to say Asia's Biggest Online Survey Company is dependent on a free blogpost site. There someone posted a letter which is undated and unreferenced addressing to panelist and signed by Haren Kaur their global CEO who is hiding.

Today the blogpost has a message from SpeakAsia Marketing Team that they will give exit option next week for those who dont want to remain with SpeakAsia and make payments as soon as they get clearance.

I dont know who is posting all these and whether all this is geniune. There are panelist who are saying SpeakAsia wil get clean chit from EOW as they dont have any proof of anything illegal or any proof of speakasia being a Pyramid scheme.

I only hope Police does a fair investigation and bring the crooks to justice.


Shyam Sundar said...

Speakasiaonline has played the age-old trick of filing a writ petition in the High Court to get a clean chit for their business model. Like Amway, it too failed miserably and got it kicked out of the Andhra Pradesh High Court. Their hope is dashed and they are waiting to go to prison.

Obby said...

Dear Shyam Sir

Yesterday there was this court date of speakasia in Mumbai and there are suspicious news being spread. Here is the exact message being spread.
RBI, ROC and IT need more time which is granted till 21st Sept 2011.

AISPA PIL which is against ROC, MCA, EOW. Its hearing is over, in which EOW was not present and MCA and ROC asked for 14 more days for submission of its Final report, which has been granted saying its the Final Extension.

No Evidence found against SAOL yet.

There is also a news being spread that since EOW officers were not present, the honorable judge told the EOW lawyer to sit with SAOL officials and decide how to make payments to the panelist.

I am confused hearing those above statements, dont know what exactly is happening.

When is the next hearing at Andhra High Court for SpeakAsia?.


Shyam Sundar said...

Haven't read the post in which I have written that Andhra Pradesh High Court dismissed the writ petition filed by speakasiaonline holding its business model is illegal and attracted the provisions of Prize Chits and Money Circulation Schemes (Banning) Act, 1978. The High Court also vacated the stay orders given earlier and asked the CID to go ahead with the arrest of the office-bearers and others in the case.