The Economic Offences Wing police, on Thursday, arrested the director of a private finance firm for allegedly cheating investors of ₹52.19 lakh after failing to return the assured amount for their investment.
Police said R. Sivakumar, 49, director of Tiruvannamalai-based HGS Dairies and Agro Private Ltd. had received investments from about 296 investors, promising attractive returns. However, he failed to return the amount.
The fraud came to light after one of the investors lodged a complaint with the Villupuram Economic Offences Wing. A police team arrested Sivakumar and registered a case against him under Sections 420, 406, 120 (b) of the Indian Penal Code (IPC) and Section 5 of The Tamil Nadu Protection of Interests of Depositors (In Financial Establishments) (TNPID), Act. He was produced before a court and remanded in custody in Chennai.
