CBI arrests one in chit fund scam case in WB

The Central Bureau of Investigation (CBI) on Wednesday arrested one person in a chit fund scam involving a Kolkata-based private company.

The Central probe agency conducted searches at two places in West Bengal which led to the recovery of several incriminating documents.

It was alleged that the said accused entered into a conspiracy with other directors of Kolkata based private company which resulted in misappropriation and siphoning off the fund illegally collected by the private company from gullible investors, a press release stated.

The accused allegedly acted as a middle man between the said private company and the regulators and got undue approvals in favour of the said company from the regulatory authorities, the release added.

CBI registered a case on June 5, 2014, concerning the private company and others who collected funds to the tune of approximately Rs 565 crore.

The arrested accused was produced before the Competent Court at Kolkata today.

( With inputs from ANI )