Finance firm dupes investors of Rs 165 crore in Belagavi, promoter flees to Dubai

BELAGAVI: A private finance company in Belagavi is now accused of cheating people to the tune of a whopping Rs 165 crore. There are allegations that the owner of this company lured people with promises of high interest, collected money and fled to Dubai. This comes amidst the Belagavi district administration’s war against private finance companies. It has already raided Shivam Associates and Aditya Capitals in Belagavi and taken steps to stop illegal activities.

Many small investors are now approaching the Deputy Commissioner’s office seeking justice and to file complaints a private finance company called Appexx BizCorp LLP in Belagavi. This firm, located in Tilakwadi, had taken investments from customers by luring them with 4 per cent interest.

When the district administration moved to take strict action against illegal finance companies, Apex Finance owners Kashinath Waghmare and another owner Ganesh Bhandari reportedly fled to Dubai without answering for the money they collected from people.

The investors have now submitted a petition to the Deputy Commissioner and have also detailed the injustice done to them before the media. It is estimated that more than 3,500 people invested in Appexx BizCorp, and the total amount invested by people is estimated to be more than Rs 165 crore. The district administration and police department have registered a case under BNS, KPID Act, and other relevant sections.

Police, who have registered a complaint, said that since the fraud is over Rs 50 crore, the case will be handed over to the CID. This was stated by Belagavi City Police Commissioner Bhushan Borase. The police have handed over the case to the CID and the investigation will continue.

Even though the Police Department and district administration have been telling people to check all rules before investing in private finance companies, customers are still falling prey to the lure of high interest. Currently, the owner of Apex company has fled to Dubai and the company’s accounts have been frozen.

Even during the Shivam Associates fraud case, customers who invested money had not filed any complaint or brought the matter to the notice of police. Now that the owners have fled, the helpless investors have approached the district administration.