It is learned that the brothers ran a deposit scheme, promising healthy returns on deposits made in several schemes.
An EOW official was quoted in a PTI report as saying that several people invested large amounts of money in the schemes over several months. On October 28, however, customers found the store shut and realised that they were cheated.
Besides customers, the store employees complained that they were yet to be paid salaries for six months. Their complaints are lodged with the local labour commissioner. The accused have been booked under Indian Penal Code Sections 420 (cheating) and 406 (criminal breach of trust), and provisions of the Maharashtra Protection of Interests of Depositors (MPID) Act, the official said. The MPID Act empowers the probing agency to attach and liquidate the assets of the accused to compensate the victims for their losses, the report further added.
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Tweets so far:
Mumbai Police: Jayesh Rasiklal Shah & Nilesh Rasiklal Shah arrested by Economic Offences Wing (EOW) under sections 406, 420, 409, & 34 of the IPC and other relevant sections in connection with Rasiklal Sankalchand Jewellers (RSJ), Ghatkopar case.— ANI (@ANI) November 11, 2019
Rasiklal Jwellers Fraud. Salaries of 55 Employees not paid for 4 months. Provident Fund also not deposited.— Kirit Somaiya (@KiritSomaiya) November 6, 2019
I with employees, met Labour Commissioner of Maharashtra Kalyankar & Asst Com Deshpande at Kamgar Bhawan BKC. Also discussed with PF Commissioner. Both have assured action pic.twitter.com/wGgRN12KkK
Rasiklal Sakalchand Jwellers Ghatkopar Scam.— Kirit Somaiya (@KiritSomaiya) November 11, 2019
Jayesh Rasiklal Shah age 55 & Nilesh Rasiklal Shah age 53...
2 accused arrested by Mumbai Police EOW u/s 406,420, 409, 34 ipc r/w 3,4 MPID Act.
Both accused will be produced before Honb'le MPID Special Court tomorrow