Coimbatore court hands 10-year jail sentence to persons involved in online financial institution scam of ₹5 crore

In a case of online scam and embezzlement Coimbatore TANFIT Court and an investigation was underway. Raja was arrested and produced in court yesterday. He was sentenced to 10 years in prison and fined Rs 2.76 crore by Judge Ravi.


Coimbatore: One of the partner on an online financial institution has been sentenced to 10 years in prison for embezzling Rs 5 crore. An online financial institution operating in Hosur, Krishnagiri district, advertised that they would double the amouny deposited. Relying on this, 86 people deposited Rs 4.96 crore.

As they did not return the deposit public lodged a complaint with the Salem Economic Crimes Division for fraud. The shareholders, Raja, 36, of Chinnalapatti, Dindigul, and Pukalendi, a resident of Hosur, were arrested in 2010.

A case was filed against them in the Coimbatore TANFIT Court and an investigation was underway. Pukalendi was sentenced on June 31 to 10years in prison. Raja, who was in custody, was arrested and produced in court yesterday. He was sentenced to 10 years in prison and fined Rs 2.76 crore by Judge Ravi.

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