Varanasi (Uttar Pradesh). A major financial fraud involving promises of land allotment and assured 15% returns has come to light in Varanasi, where investors were allegedly cheated of crores of rupees. Two separate FIRs have been registered in the case, accusing real estate operators of systematically defrauding investors through a coordinated investment scam and later refusing to return the funds.
Plots And Returns Used As Bait
According to complainants, the accused lured investors by promising plots in the Babatpur area along with guaranteed monthly returns on their investments. In the initial phase, investors reportedly received regular payments for a few months, which helped build trust. However, payments were suddenly stopped later, and requests for refund of principal amounts were denied.
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The complainants include Chandrashekhar Rajbhar from Cholapur’s Ghooghli village and Ashok Kumar Singh from Kharariya Khas in Badagaon. They have alleged that Chairman Mrityunjay Singh, Managing Director Shivkumar Bhardwaj, and others jointly operated the network. The accused allegedly convinced investors to deposit money in multiple installments by promising both land ownership and high financial returns.
Investors Allege Threats
As per the FIR details, Chandrashekhar Rajbhar invested over ₹10 lakh along with contributions from family members, while Ashok Kumar Singh invested around ₹9.5 lakh in several installments. Initially, the scheme functioned smoothly with regular payouts, but later the accused allegedly began delaying payments and eventually stopped returning money altogether.
Victims have further alleged that when they demanded their money back, they were abused and threatened with death, forcing many to approach law enforcement authorities. The intimidation reportedly intensified the pressure on investors who were already struggling to recover their funds.
Multiple Company Names Under Scanner
Investigations have revealed that the accused allegedly changed the names of their companies periodically to mislead investors and continue attracting new deposits. The FIR mentions several entities, including JBS Property Private Limited, Shakti Capital, Shakti Capital and Asset Management, Shakti Motion Pictures, BIP Construction, and Trade Bull. These firms are suspected to be part of a single coordinated network operating under different names.
Victims also alleged that the accused used photographs with political events and influential individuals to create an impression of credibility and legitimacy, thereby increasing investor confidence and expanding the fraud network.
Police Probe Wider Investment Racket
Police have registered the case at Badagaon police station under sections of the Bharatiya Nyaya Sanhita, including cheating (Section 318(4)), criminal conspiracy (Section 352), and criminal intimidation (Section 351(2)). The investigation has been assigned to Sub-Inspector Sunil Kumar Yadav.
Officials stated that preliminary findings suggest this may be an organized investment fraud racket, where victims were systematically lured with promises of high returns and long-term profits. Funds were allegedly held for extended periods and later not returned.
Investigating agencies are now examining the financial records, company structures, and bank transactions linked to the accused. Authorities are also trying to identify additional individuals involved in the network and determine the total number of victims affected by the scheme.
Experts note that such frauds typically operate in cycles—initial investors receive small returns to build trust, followed by aggressive fund collection before payments suddenly stop. Companies are then often rebranded under new names to continue the same pattern with new investors.
Police have urged citizens to exercise caution and thoroughly verify any investment scheme before committing funds, warning that promises of unusually high or guaranteed returns are often indicators of financial fraud.
