Mangalore: Man held for cheating over 11,000 people

DHNS

• He sold bonds worth Rs 76 lakh assuring people of high rate of interest

Mangalore, 20 June 2010: Time and again fraudsters, who assure to double the money or high rate of interest for deposits, have cheated people in several parts of the State. Yet the innocent people fall prey to them.

In a fresh case, Mangalore police have arrested a man who reportedly cheated over 11,000 people in Mangalore and Belgaum by collecting about Rs 76 lakh from them, by assuring them higher rate of interest for the money deposited by them.

The arrested, Diwakar Alva alias Diwakar B A (42), a native of Puttur, was running a firm Vishwa Chethana Concept at Manasa Tower near P V S Building and another office in Mahendra Arcade on Karangalpady Road. He was issuing bonds (insurance) in the name of Reliance Company.

Informing the same to media persons here on Saturday, Police Commissioner Seemanth Kumar Singh said the modus operandi of Diwakar was to collect a sum of Rs 10,150 from each person assuring them a return of Rs 5,500 after 45 days for one year. “Diwakar assured to repay a sum of 13 lakhs after 30 years to those who paid Rs 10,150 per bond,” the Commissioner said and added that he had collected a sum of Rs 21 lakhs from 300 persons in Mangalore that includes Rs 10,150 each from over 200 persons and Rs 900 each from over 100 persons. A case has been registered in Mangalore East police station.

Rs 55 lakh cheated in Belgaum

In Belgaum, Diwakar had opened a similar firm ‘V Creations’ some time ago. The Commissioner said that Diwakar had cheated about 11,000 people in Belgaum by collecting a sum of Rs 55 lakh. A case has been registered against Diwakar in this regard on April 8, 2010.

Though the police received a few oral complaints from the members of the pubilc, they acted upon the same after an auto driver Dharnappa Gowda lodged a formal compalint with the police a few days ago. Based on the complaint, a special team headed by ACP B J Bhandary and Police Inspector Niranjanraj Urs was formed.

 Acting on a tip off, the team took Diwakar into custody in Mysore on June 18, brought him to Mangalore on June 19. He was produced before the court in Mangalore which remanded him to police custody for five days.

Further investigations are on. Meanwhile, the Commissioner has requested the members of the public not to fall prey to people who assure higher rate of interest.