Delhi jeweller held for Rs.2.5 crore fraud

Last Updated: Wed, Jan 23, 2013 16:30 hrs

New Delhi, Jan 23 (IANS) A 61-year-old jeweller was arrested here for cheating people to the tune of Rs.2.5 crore on the pretext of providing them handsome returns on investments of gold and cash, police said Wednesday.

Sita Ram Kapoor, owner of Modern New Kapoor Jeweller Pvt. Ltd. in east Delhi's Krishna Nagar, was arrested Tuesday from his hideout here.

One of the victims, Vijay Verma reported to the police July 30, 2012, that he was induced by Kapoor to part with his life's savings of 2 kg gold worth Rs.60 lakh on the promise of three percent interest per month.

"The accused neither got any interest nor got his gold back. Further investigation revealed that there had been several other victims who had been duped by the similar modus-operandi," said K.K. Vyas, Deputy Commissioner of Police (Economic Offence Wing).

Till now, 14 people have come forward who had been cheated by Kapoor to the tune of Rs.2.5 crore, said Vyas.

The company, run by Kapoor, was neither registered as a non-banking financial company nor had taken any approval from the Reserve Bank of India (RBI) to accept any deposit from public.

"Kapoor has been running the jeweller shop for the last 35 years. He has no previous criminal record," said the officer.

Kapoor and his brother Rajpal Kapoor induced the public to deposit the gold and cash with them on the pretext of return of handsome returns.

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