Jewellery chain shuts after collecting Rs 100 cr
The affected investors have filed individual complaints with the police, and an investigation has been launched.
The shuttered jewellery shop in Tiruchy on Tuesday.
TIRUCHY: After collecting a whopping Rs 100 crore from the public as gold investment, a jewellery chain shut shops across the State and allegedly escaped, triggering protests on Tuesday.
The affected investors have filed individual complaints with the police, and an investigation has been launched.
Tiruchy-based Pranav Jewellers, which has branches in Chennai, Erode, Nagercoil, Madurai, Kumbakonam, and Puducherry, has been collecting investments from the public on the promise of high returns and offered an incentive for those who invest Rs 5 lakh and more. Lured by this, many deposited funds ranging between Rs 1 lakh and Rs 1 crore.
The deal began to sour about two months ago, with the shop failing to pay the promised interest for the investment. When some of the investors approached the shop, the management reportedly promised to pay them the pending amount within a week.
Those who invested their money were in for a shock on Tuesday when they found the shop in Tiruchy and the other cities were closed and the owners could not be reached over the phone. The information about the closure of the shop went viral, bringing a large number of people who invested money.
After they went on a protest, Fort police rushed to the spot and held talks with them. The officials received complaints from every individual investor, promising to investigate the matter.
