Patna Police have arrested a 45-year-old man from Lucknow in connection with an alleged multi-crore investment fraud in which people were promised high returns from share-market investments.
The accused, identified as Shridhar Pathak, is a native of Kapsiyawan in Nalanda district and had been living in the Gola Road area under Danapur police station.
He was arrested in Lucknow and brought to Patna on Tuesday after police obtained a warrant against him.
The case registered at Kotwali police station currently involves allegations of around ₹4 crore, but police say several more people have approached investigators since Pathak’s arrest claiming that they also gave him large sums of money.
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Police Say Money Was Taken for Share-Market Investment
According to Additional Superintendent of Police Krishna Murari Prasad, Pathak allegedly collected money from several people after promising to invest it in shares and generate returns.
Police said some of the money taken for a stated purpose was allegedly diverted elsewhere.
Cheques issued against the money were later dishonoured because of insufficient funds, investigators said.
The case had been registered several months earlier.
Police say Pathak was served notices asking him to appear before the investigating team but allegedly failed to comply.
Investigators then began tracing him after learning that several people had handed over money.
Arrest Made in Lucknow
Police obtained a warrant from a competent court and traced Pathak to Lucknow.
He was arrested there and brought back to Patna for questioning.
Police said they recovered several cheques and documents during the investigation, according to a separate Jagran report.
After news of the arrest spread, more alleged victims began approaching Kotwali police station.
ASP Prasad said investigators received several new applications from people claiming that Pathak had taken crores of rupees from them.
Some Reports Put Wider Claims Above ₹100 Crore
Jagran reported that complainants are now alleging combined losses exceeding ₹100 crore.
That figure is substantially higher than the ₹4 crore amount currently cited in the Times of India report on the registered case.
Police have confirmed that additional claims involving substantial sums are being received.
However, the available official police statement does not yet establish ₹100 crore as the final verified fraud amount.
For that reason, the wider figure should currently be treated as an allegation emerging from multiple complainants rather than an established loss.
Investors Allegedly Promised 30% to 50% Returns
Jagran reported that Pathak allegedly promised investors returns of between 30% and 50% through share-market investments.
He reportedly operated an office near Gate No. 93 in the Makhdumpur area of Digha.
According to complainants quoted in the report, some investors initially received returns for around 10 to 12 months.
Those early payments allegedly helped build trust and encouraged people to invest larger amounts or recommend the scheme to relatives and acquaintances.
Police have not yet publicly characterised the arrangement as a Ponzi scheme.
That would require examining whether returns to earlier investors were funded from money collected from later participants.
One Investor Claims ₹1.72 Crore Loss
Among those who approached police was Anand Pandit.
Jagran reported that Pandit claimed to have invested around ₹1.72 crore through Pathak after being promised a 50% increase in six months.
He alleged that neither the promised return nor the principal amount was repaid.
Other complainants described substantially smaller but still significant losses.
One man, identified as Noor Alam, allegedly invested around ₹25 lakh, while another complainant claimed to have placed retirement savings into the scheme after initially receiving returns.
These remain individual allegations that investigators will have to verify through bank records, agreements, cheques and other evidence.
Some Victims Say They Invested Life Savings
The case illustrates how investment fraud can grow through personal referrals.
According to Jagran, some complainants said they invested retirement money, savings kept for family weddings or proceeds from land sales after seeing initial payments being made to earlier investors.
Once confidence increased, investors allegedly committed larger amounts.
Several later said payments stopped and Pathak became difficult to contact.
Police are now examining the flow of money and the purpose for which funds were actually used.
Bounced Cheques Could Become Important Evidence
The alleged dishonouring of cheques may become a significant part of the financial trail.
Police say cheques issued against money owed were returned because of insufficient funds.
A separate court record also shows a pending Negotiable Instruments Act proceeding involving Mayank Paritosh versus Shridhar Pathak and Minakshi Pathak, filed in April 2026.
That proceeding concerns Sections 138 and 142 of the Negotiable Instruments Act, which deal with cheque dishonour.
The existence of that case does not prove the allegations in the current police investigation, but it could become relevant when investigators examine the wider financial dealings.
Economic Agencies May Be Brought Into Probe
Patna Police say the size and complexity of the transactions may require involvement from other agencies.
ASP Prasad said authorities dealing with economic offences could be informed, including the Income Tax Department where necessary.
That would allow investigators to examine bank accounts, tax records and the movement of large sums between different parties.
The investigation is also expected to establish whether Pathak acted alone or whether others assisted in collecting, transferring or managing investors’ money.
Final Fraud Amount Still Unclear
At this stage, there are effectively two numbers in circulation.
The registered case is being reported at around ₹4 crore.
The much larger ₹100 crore-plus figure comes from allegations made by additional complainants after the arrest.
Police have not yet completed verification of all those claims.
The eventual amount could therefore increase, decrease or be broken into separate cases as investigators scrutinise individual transactions.
Pathak has not been convicted, and all allegations remain subject to investigation and judicial proceedings.
What this means for you
Promises of 30% to 50% returns over a short period should be treated as a serious warning sign, even when initial payments are made on time. Before handing over large sums, verify whether the person or entity is authorised to provide investment services and insist on documented, traceable transactions.
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