Vijayawada: Nearly 300 people allegedly affected by a ₹42-crore chit fund fraud in Andhra Pradesh reached the Andhra Pradesh High Court on Friday, hoping to recover their hard-earned money.
The victims came from four mandals in the Tanuku region of West Godavari district, carrying payment receipts and passbooks issued by the company as evidence of their investments.
The victims alleged that they had deposited their savings with a chit fund company but were still waiting for their money to be returned. They travelled to the High Court in buses and vans at their own expense, hoping that the court proceedings would help them recover their investments.
According to the victims, police had assured them that the accused father and son were willing to repay the money collected through the chit fund schemes. This assurance prompted a large number of investors to travel to the High Court in the hope of obtaining clarity on the repayment process. However, the proceedings took an unexpected turn, leaving the investors disappointed and raising tensions on the court premises.
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Withdrawal of Anticipatory Bail Petition Triggers Tension
The accused have been identified as Goli Srinivasa Rao and his son, Goli Bhavani Shankar, residents of Tanuku. They allegedly operated Sri Durga Bhavani Chits and Finance and are accused of collecting crores of rupees from investors through chit fund schemes.
Their anticipatory bail petition was scheduled to come up for hearing on Friday afternoon. The investors were hoping that the proceedings would help move the process of recovering their money forward.
However, when the matter came up for hearing, the accused informed the court that they were withdrawing their anticipatory bail petition. The court permitted them to withdraw the application.
The development reportedly angered the investors gathered at the High Court. Many wanted answers from the accused regarding the return of their deposits. The withdrawal of the petition left the investors uncertain about the next steps and contributed to a tense atmosphere on the court premises.
Victims Surround Accused’s Car, Police Intervene
After the court proceedings, the father and son attempted to leave the High Court premises in their car. However, the victims surrounded the vehicle, seeking answers about their money.
A large number of people gathered around the car, demanding clarity on when their investments would be returned. The situation became tense, forcing the police to intervene to prevent further escalation.
Police personnel struggled to disperse the crowd and ensure the safe removal of the accused from the premises. After considerable effort, they managed to clear the way and escort the father and son away from the gathering.
The two accused were subsequently taken to the Tulluru police station. The incident highlighted the growing frustration among investors who had travelled to the High Court expecting progress on the repayment of their deposits.
Investors Carry Receipts and Passbooks as Proof
The victims arrived at the High Court carrying payment receipts and passbooks issued by the company. These documents were intended to support their claims that they had deposited money under the chit fund schemes.
The presence of nearly 300 people from four mandals reflected the scale of concern among investors seeking the return of their savings. Many had arranged their own transportation to reach the court after learning that the accused were reportedly prepared to repay the money.
Chit fund schemes generally involve members contributing money at regular intervals, with payouts made according to the terms of the scheme. However, when operators allegedly fail to return deposits or face accusations of financial irregularities, investors can struggle to recover their savings.
In this case, the victims’ principal demand is the return of the money they claim to have deposited with Sri Durga Bhavani Chits and Finance.
Uncertainty Continues Over Repayment
The withdrawal of the anticipatory bail petition and the court’s permission to withdraw it do not, by themselves, establish the allegations against the accused or confirm that investors have received refunds. The victims are still awaiting clarity on the status of their deposits and the arrangements, if any, for repayment.
The alleged ₹42-crore fraud has left investors hoping for a resolution through further legal proceedings. Those who deposited their savings with the company are primarily concerned about recovering their money.
The tense scenes at the High Court on Friday underscored the anxiety faced by investors who remain uncertain about the fate of their hard-earned savings. While the accused have withdrawn their anticipatory bail petition, the immediate concern for the victims remains whether and when they will receive their money back.
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