HYDERABAD: Andhra Pradesh Stamps and Registration officials on Wednesday began searches at the Margadarsi Chit Fund Corporate Office on Fateh Maidan Road in Hyderabad city. According to the officials, even after the searches, no records have been provided or submitted regarding the information of the last eight years. The information about the deposits was also not given, they said.
Margadarsi officials also prevented the media from talking to officials or providing information. A section of the media is also said to have been manipulated by Margadarsi officials and kept at the gates. The police took the workers to the building.
Financial irregularities and misappropriation of funds are under investigation. Notices may be issued to Margadarsi Hyderabad offices, they said. The department conducted searches after noticing that money collected through chits was being diverted to other activities in the state of Andhra Pradesh. He also found that records and accounts were not in order and that financial transactions were carried out without proper authorization.
It may be recalled that state-wide inspections were conducted in 35 chit fund companies, including Margadarsi Chit Funds Pvt Ltd, in the state of Andhra Pradesh, where large-scale financial irregularities came to light. Inspector General of Stamps and Records and Registrar of Chit Funds of Andhra Pradesh V Ramakrishna revealed that the money collected by the Margadarsi Chit Fund Company from depositors was diverted to Ushodaya Enterprises, Ushakaran Movies and other companies promoted by Eenadu group chairman Ch Ramoji Rao. Stamps and Registration officials conducted searches at 18 units in Andhra Pradesh.
Also read: Margadarsi Chit Fund Irregularities: Funds diverted to Ushakiran, Ushodaya companies