Mangaluru: Police have booked two men from Katipalla, Surathkal, for allegedly running an illegal deposit scheme that cheated thousands of investors of over ₹10 crore.
The accused — identified as scheme proprietor M. Mohammed Ashraf and manager Haneef — operated under the banner New India Royal Scheme from a BMR building in Katipalla village. According to the complaint, they lured members with handbills promising high returns and flashy prizes.
The offer: pay ₹1,000 a month for 10 months (₹10,000 total) and receive ₹12,000 in cash upon maturity, with chances to win cars, bikes, and gold rings.
The complainant joined in July 2024, making the first payment in cash and the rest via Google Pay, completing the final instalment on April 21, 2025. However, when the scheme matured, payments were allegedly delayed under the pretext of “processing.”
Police say the organisers roped in more than 10,000 members, collecting crores without the required licence. Two months ago, Ashraf reportedly shut down the office and stopped responding to calls. Investors neither got their money back nor the promised prizes.
Officials have termed it an unauthorised deposit scheme under law. A case has been registered at Surathkal Police Station, and the fraud is estimated to exceed ₹10 crore.



Comments
Add new comment