Tuesday, Aug 09, 2022
Outlook.com

The Slips Are Showing

To check CRB-like scams, the government now suggests a host of measures. But are they viable?

It's a grim scenario, post-CRB. Thousands of investors defrauded of their hard-earned savings run from pillar to post in the hope of recovering at least some of it. The cheats, Chain Roop Bhansali and his coterie of relatives and friends, have fled and remain untraced. The regulators and monitors, be it SEBI, RBI, the finance ministry, auditors or credit-rating agencies, are baying for one another's blood. They need not waste their energies.

Because across the country, it's business as usual for many non-bank finance companies (NBFCS). On June 4, a national daily carried a prominent advertisement by a company called Elixier Green Shield inviting investors to join hands with them and earn 32 per cent in addition to a gold coin. In Patna, even as the CRB scandal was unfolding nationally, the police was busy locking up the branch office of PLS Technicals and freezing its bank accounts after the company's cheques began bouncing. Company chairman R. Kumar and director Arun Kumar Chaudhary are both absconding.

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