BJP MP for action against unregulated Maha chit fund firms

A BJP member on Thursday asked the centre to take action against unregulated chit fund companies in Maharashtra, charging the state government with inaction in acting against chit fund companies which were allegedly duping thousands of small investors.

‘Around 10 lakh small investors, including farmers, workers and middle class people, have been duped by these unregulated chit fund companies and the scam is estimated to be worth Rs 10,000 crore,’ Kirit Somaiya said during Zero Hour in the Lok Sabha. He said these small investors were spread across Maharashtra, in places like Nashik, Jalna and Aurangabad and there have been cases of suicide among the people who had invested in these companies.

Observing that vulnerable people out to make a quick buck were falling victims of these ponzi schemes and the promises made by the fly-by-night firms, he said, ‘The state government has not paid any attention to the problem and taken no action against these fraudulent chit fund companies.’