Two directors of a firm in Wadala have been arrested by officials from the economic offenses wing of the Mumbai city police for allegedly cheating several investors of at least Rs 4,500 crore.
The duo arrested had worked with Royal Twinkle Star Club and has been identified as Prakash Uttekar (58) from Prabhadevi and Venkatraman Natrajan (60) from Ghatkopar.
"The two were directors in the firm and actively participated in firm's operations and conspired to cheat people." said the officer. They will be under the custody of police till September 14.
The managing director of Royal Twinkle Star Club, Omprakash Goenka, had been arrested earlier this year in June. At present, he is under the judicial custody.
At least 11,000 complaints from investors have been received by the police so far. The complaint was first registered in Wadala at the Rafi Ahmed Kidwai Marg police station. The matter was then handed over to the economic offences wing.
The police said the 18,000 investors include people from various fields throughout the country. These are said to be farmers, labourers, teachers, government employees and the self-employed.
The first complaint regarding this case was lodged at the beginning of this year in February. The complainant, a manager at a liquor shop, was initially an agent for the company and had himself invested his money and that of his relatives' and clients. The firm had lured investors with hotel stay packages based on reward points earned in the investment scheme.
The accused have been booked under Indian Penal Code and the stringent Maharashtra Protection of Interest of Depositors' Act. The state government has appointed an experienced authority to look after assets of the accused which have been attached.
