The Jharkhand High Court on Monday issued notices to the Income Tax department, Securities Exchange Board of India, Enforcement Directorate as well as the Director General of Police and State Finance Secretary in chit fund case, asking why the case should not be handed over to the Central Bureau of Investigation (CBI).
“Three cases had been filed in the matter by Bablu Kumar, Sanjay lakra and Ajay Kumar alleging the chit fund companies of cheating a large number of people in Jharkhand through a network of agents working for them all over the state,” said advocate Rajeev Kumar.
The court of Chief Justice R Banumathi and Justice DN Patel on Monday issued notices to the concerned agencies asking why the case should not be handed over to the CBI, added Kumar.
A PIl was initiated on the basis of a letter sent by the Deoghar District Bar Association to the high court in February this year.
According to the letter, about 27 such firms operate in Deoghar district alone. The advocates’ body had lodged complaints with the Deoghar Deputy Commissioner and sub-division officer, in this regard.
later, a PIl was also filed in this regard demanding a CBI probe in the matter.
The letter also stated that these companies are very active. Their employees mingle with common people and convince them to invest money in such firms, who promise sure dividends and high rates of interest to lure investors.
Earlier also, the court had pulled up the state government for allowing chit fund companies to allow the chit fund companies to flourish in the state. The court of September 5 had also directed DGP Rajiv Kumar and chief secretary R.S. Sharma to file a report on actions taken against such companies at the earliest.