Jaipur: The Rajasthan police on Sunday unearthed a multi-level marketing company, Retail Commercial Marketing (RCM) which duped people of Rs 2,000 crore in Bhilwara district. JPN/Bureau
Acting on a tip off, the police conducted a raid on the company premises and found it to be engaged in irregularities of Food Corporation of India's (FCI) stocks along with the Rs 2,000 crore forgery.
Superintendent of Police Umesh Chandra Dutta said “We have found the company was also misusing wheat, meant for supply under the public distribution system (PDS).
Nearly 9,500 sacks of wheat and 2,100 sacks of wheat flour were seized. The company was selling these food items after labeling them under their brand”
While the police have made several arrests in the case, the directors of the company, Trilokchand Chabra, Saurabh Chabra, Kailash Chandra Chabra, Bhag Chand Chabra and Priyanka Chabra are still absconding.
According to the sources, the police are investigating the role of government and FCI officials in the exposed irregularities.
Meanwhile, police also intimated various agencies like Enforcement Directorate, income tax and have alerted the airport officials about the absconding directors.
Dutta said "RCM had its branches in almost every district in the state and several accounts with different banks in the country.”
The police have registered cases of fraud and cheating against the company and its directors.
RCM used to invite people to become members by paying Rs 1,500; and those members were instead asked to bring in more members to avail a commission of 10 percent, said police
Sources said that the company had not registered itself under The Companys Act. The company has 1.25 crore members in the state.
Jaipur: The Rajasthan police on Sunday unearthed a multi-level marketing company, Retail Commercial Marketing (RCM) which duped people of Rs 2,000 crore in Bhilwara district.