BUSINESS

Arrest Jignesh Shah, other accused: NSEL investors to Mumbai Police

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Star Live 24, Star Live 24
Thursday, February 06, 2014
Published On: 18:02:38 PM
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Members of the NSEL Investors' Forum, a representative body of around 13,000 aggrieved investors of the scam-hit spot exchange, met Mumbai police Crime Branch chief Himanshu Roy at the police headquarters in South Mumbai, who assured them of speedy progress in the case and liquidation of assets, so that the investors could get their money back.

"Many investors are satisfied with the probe so far. You people could see more action in the next few days," Roy said.

The IPS officer appealed to investors to ignore any rumours and said that 80 per cent of the money in the Rs 5,600 crore scam had been recovered after attaching properties of the accused and they are in the safe custody of the concerned court.

Jignesh Shah and other promoters will be soon called for questioning in connection with the case, another police officer said.

Yesterday, the Mumbai police filed a 9,100-page chargesheet against the five arrested accused, including the spot exchange's former CEO Anjani Sinha.

Four others named in the chargesheet are Amit Mukherjee, former NSEL Vice-President (Business Development); Jay Bahukhundi, another ex-assistant vice-president; Nilesh Patel, managing director of NK Proteins Ltd; as well as Arun Sharma, Lotus Refineries' CMD, who is also a film financier.

The FIR was lodged on September 30 by the Economic Offences Wing (EOW) against NSEL directors Shah, Massey and others, charging them with cheating, forgery, breach of trust and criminal conspiracy, among other offences.

The spot commodity bourse, promoted by the Shah-led Financial Technologies (India) (FTIL), has been facing problems in settling Rs 5,600 crore dues of over 200 member brokers, representing 13,000 investor clients.

The police suspect that an equal role of brokers in the scam, since many of them sold NSEL commodities despite knowing about fraudulent practices in the spot exchange.

The EOW has invoked the Maharashtra Protection of Interest of Depositors Act, which empowers the police to attach immovable assets of the accused.

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