Thousands of depositors of Green Buds Agro Farm Company Pvt. L.t.d., who had allegedly been defrauded in a money-pooling scheme, are looking forward to competitive bidding in the e-auction of the company’s immovable properties.
Several depositors of the scheme had gathered for a meeting convened by Karnataka State Federation of Farmers’ Organisations near Kuvempu Park in Mysuru on Friday and are hoping for wider participation and competitive bidding for the agricultural land in Doddakavalande village and Madapura village in Nanjangud taluk near here on January 12.
Addressing the depositors, federation president Kurubur Shanthakumar said there was a need to create wider awareness of the e-auction so that the hard-earned money of farmers and labourers invested in the scam could be refunded in full.
The Special Office and Competent Authority had recently issued a notice for e-auction of the immovable properties of the private company that had been attached by the government under the provisions of the Karnataka Protection of Interest of Depositors in Financial Establishments Act 2004 (KPIDFE Act).
About 16 acres of land in six different survey numbers in Doddakavalande village of Nanjangud taluk and another 10 acres of land in different survey numbers of Madapura village of Hullahalli hobli in Nanjangud taluk had been listed for e-auction on January 12.
He said the decade-old struggle of the cheated depositors had brought the case to this stage, where the immovable properties of the private company had been attached by the government and the government-appointed special officer Aditya Biswas-headed competent authority had come forward to auction the immovable properties.
Mr. Shanthakumar said thousands of investors had lost their lifetime savings worth estimated to be more than a hundred crore. The attachment of the immovable property and subsequent auction had given the depositors, estimated to be more than 1.6 lakh people, mostly poor people from rural parts of the State, a glimmer of hope that their deposits will be refunded, he said.
The depositors had invested money in the company’s various schemes like fixed deposit, recurring deposit and pigmy collection on in the hope that the company will honour its promise to double the money in five years.
Varying sums had been paid by the victims in more than 73 branches of the company, which was unable to return the investment. A case was filed against the company in 2013, leading to their arrest, said a depositor.
Subsequently, the then government headed by Chief Minister Siddaramaiah had ordered a CID probe, and after receiving a report ordered the confiscation of the company’s properties in different parts of the State, according to the depositors.
