Chit Organizer From Chanda Nagar Arrested

The EOW of the Cyberabad police today arrested a man accused of cheating and criminal breach of trust after he allegedly collected Rs 2,79,57,438 from chit customers.

Following a complaint by one Nasar Khan of Chanda Nagar, Serilingampally Mandal, Ranga Reddy district, the police registered a case under IPC sections 420 and 406, and Section 5 of the Telangana Protection of Depositors of Financial Establishments Act, 1999, at the EOW PS, Cyberabad.

The accused, identified as Appampally Surya Pratap Reddy from Chanda Nagar, had been running unregistered monthly private chits from his house for 14 years. Many people became subscribers to his schemes, trusting him. The accused maintained chits for amounts ranging from Rs 1 lakh to Rs 25 lakh on a commission basis. Reddy collected Rs 2,79,57,438 from 80 subscribers under the guise of monthly chits. He then abruptly shut down his operation and fled the locality. However, the police arrested him at Karmanghat.

The police have advised the public to be cautious about private chit funds and to avoid subscribing to unregistered schemes. They also said that the police department was committed to prosecuting fraudsters and ensuring justice for the victims.