Chit fund companies have duped thousands of gullible depositors of at least Rs 80,000 crore, according to estimates of CBI which is probing such cases across the country. These companies with operations across the country lure people by offering attractive interest rates and monthly returns then leaving people high and dry as has been amply seen in the Rose Valley and Sharada scam.

Therefore it comes as no surprise when the house during the Sixth Legislative Assembly was informed that in Arunachal 28 cases of economic offence are registered out of which 13 were under investigation.

In recent memory, Jivan Suraksha Consultant and Real Estate Developers Limited and Sri Sri Hire Purchase Group in the state has hogged much news space with about more than 300 hapless former agents of the fly-by-night outfits seeking government intervention as duped customers were threatening them with dire consequences if they don't get their back money. The agents have alleged that while the state government was keen on asking for no-objection certificates from small-time vendors, it did not check the credentials of companies.

They are not wrong; there has been a mushrooming of financial establishments in the state, which were not covered by the Reserve Bank of India Act, 1934 and they have been receiving deposits from the public on the promise of high rate of interests and easy gains. Hardworking citizens fall prey to such attractive packages and end up losing their hard earned money. Many financial institutions have not returned the maturity amount to depositors and as there is no law to curb the menace.

Therefore, The Arunachal Pradesh Protection of Interest of Depositors (in financial establishments) Bill, 2017 passed in the state Assembly on Fridayassumes huge significance. The bill aims at protecting the deposits made by people in financial establishments. The government has also announced a Special Investigation Team constituted by the Home department will investigate all cases of economic offence with provisions for punishment in the form of two year imprisonment and penalty of Rs five lakh.

There is an urgent need to put in checks on the functioning of financial establishments for the welfare of citizens. The state must realise that it is not only about innocent people being duped but also many people who have a zeal to earn more such as investors or agents for such dubious firms end up becoming victims themselves.

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Kenter Joya Riba

(Managing Editor)
      She is a graduate in Science with post graduation in Sociology from University of Pune. She has been in the media industry for nearly a decade. Before turning to print business, she has been associated with radio and television.
Email: kenterjoyaz@easternsentinel.in / editoreasternsentinel@gmail.com
Phone: 0360-2212313

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