Visakhapatnam. A major financial controversy has erupted in the city after around 350 investors staged a strong protest against a firm identified as “Chandu Group,” alleging that they were collectively defrauded of an estimated ₹15–20 crore through false promises of high and guaranteed returns on investments.
Investors Demand Refunds
The protest, which drew attention across local financial circles, saw hundreds of affected individuals gathering in public spaces, demanding immediate action from authorities and the recovery of their stuck funds. The victims claimed that they were systematically misled with assurances of secure investments and monthly profits, which eventually stopped without explanation.
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According to the protesting investors, the alleged scam began with attractive claims of steady and high returns on deposited money. They said the group initially built trust by showing small, consistent payouts, which encouraged more people to invest larger amounts over time. Many victims alleged that they were told their funds would be invested in structured business and financial ventures, ensuring safety and regular income.
Over time, the operation reportedly expanded through informal networks, including local agents and word-of-mouth referrals. Investors from multiple neighbourhoods and social groups were brought into the scheme, significantly widening its reach. Several victims stated that the gradual buildup of credibility was a key factor that led them to invest their life savings.
Payments Stopped Suddenly
However, in recent months, investors claim that payments abruptly stopped. Neither the principal amount nor the promised returns were provided. When individuals attempted to contact the operators, they were allegedly given repeated excuses, delays, and vague assurances regarding system issues and financial restructuring. This prolonged uncertainty eventually triggered suspicion and led to coordinated protests.
Protesters further alleged that the group operated through a structured setup involving multiple intermediaries who collected funds under different pretexts, including business investments and real estate-linked schemes. Some victims also claimed they were shown fabricated documentation and project details to strengthen credibility and encourage larger investments.
The financial distress among affected families has deepened, with many stating that their entire savings have been locked in the alleged scheme. The scale of the reported losses has caused significant concern in the region, as more individuals continue to come forward with similar complaints.
Preliminary Inquiry Begins
Following the public demonstration, demands for a formal investigation have intensified. Protesters urged law enforcement agencies to identify those responsible, trace the flow of funds, and ensure swift recovery of the money. They also called for stricter action against any organised networks involved in such financial frauds.
Preliminary inputs suggest that relevant authorities have begun examining the matter. Officials are reportedly reviewing transaction records, bank accounts, and investment documentation linked to the accused entity. Investigators are also assessing whether the alleged fraud involved a wider coordinated network operating across different areas.
Authorities stated that if the allegations are substantiated, the case could point to a well-organised financial fraud operation involving systematic fund collection and misrepresentation of investment opportunities. Further scrutiny is underway to determine how the collected funds were utilised and whether additional individuals or entities were involved.
Financial Trail Under Scrutiny
Meanwhile, the protest continues, with victims insisting on both accountability and financial restitution. Officials have assured that the matter will be taken up seriously and that necessary steps will be initiated based on the findings of the ongoing examination.
