Police said some of the defendants worked directly at the company and were familiar with the loan-making system. (Representative image)
VADODARA: Twenty-two people, including employees of a financial company, have been indicted for fraud, forgery and criminal association by the Gotri police. The complaint was filed by the Legal Director of Cholamandalam Investment and Finance Company who was defrauded of Rs 7.70 crore by the accused. Cops taped an FIR Tuesday night after the plaintiff approached court some time ago.
According to the complaint, the defendants include the director of the company, freelancers and contractors for additional work. All of the defendants hatched the plot to take out multimillion-dollar loans from the company by producing false documents and overvaluing properties in different areas of the city.
Police said some of the defendants worked directly at the company and were familiar with the loan-making system. Sixteen defendants were freelancers and additional work contractors who manage work on mortgaged properties. Two other defendants were appraisers who used to give property valuation reports.
The freelancers and extra work contractors prepared fake documents to show that some people wanted to mortgage their properties and take out loans from the company. The appraisers then prepared false reports on the overvalued properties. The company deposited a certain amount in the builders’ accounts while the rest was deposited in the accounts of 16 additional freelancers and contractors.
When the EMIs for the loans were not filed with the company, management launched an investigation to find out who had taken the loan. “It turned out that the loans were taken out on behalf of roadside stall owners and even sidewalk dwellers. These people were unaware of any mortgaged property,” police said. The company contacted Gotri police in October last year with a complaint, but the cops did not register an FIR. The company also wrote to the city’s police commissioner, but when the cops failed to file an FIR, they contacted the court, which ordered the cops to file a complaint.