AMONG the everyday crowd waiting outside the Chennai City Police Commissioner’s office to lodge their complaints and file charges, you could well spot at least one who has come to report a case of chit fund fraud. Such has been the frequency of cases where people are getting swindled of their money for trusting these ‘illegal companies’.
The companies earn this trust by introducing schemes and plans similar to the ones run by legitimate ones. Be it a monthly fund, Deepavali fund, or Christmas fund, they have all the seemingly credible ‘tricks’ to lure people into investing.
The investor get the sign of red flag only when it is time for the company to pay them back the assured amount. The company would then, all of a sudden, go silent. Only when the silence remains beyond months, do people realise that they’ve been cheated.
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