Laws may be amended to take strict action against ponzi schemes duping investors: Rajasthan CM

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Jaipur, Dec 22 (PTI) Rajasthan Chief Minister Ashok Gehlot on Tuesday laid emphasis on making amendments in laws related to credit cooperative societies to ensure effective action against ponzi schemes that dupe investors.

He asked the officials to study legal provisions that can pave the way for amendments that can be made in the laws.

Last year, Rajasthan had become the first state to implement the Centre’s Banning of Unregulated Deposit Schemes Act, 2019, that came as a relief to account holders whose money was trapped in ponzi schemes Chairing a meeting to discuss issues related to the Act and complaints by investors against such societies, the Chief Minister said that lakhs of investors are cheated and efforts should be made to ensure strict action against the culprits along with recovery of the investors' money.

The CM asked the special operations group (SOG) of Rajasthan police and cooperative department to take the complaints seriously and also coordinate with the central agencies, according to a release.

Gehlot said that more than 75,000 complaints have been received against various cooperative societies which shows the gravity of the issue.

ADG (SOG) Ashok Rathore said that more than 1,500 cases related to fraud by cooperative societies are registered with different police stations of the state and the SOG is also investigating several cases.

Cooperatives Minister Udai Lal Anjana, Chief Secretary Niranjan Arya, Registrar of Cooperative Societies Muktanand Agrawal and other officials were present in the meeting. PTI SDA HDA