Bengaluru: There are only 30,000 registered chit operators in India as against few lakhs of unauthorised chitsters. It is the high time to publicise the benefit from chits run by the authorised chitsters so as to protect the people from the hands of unauthorised chitsters, this was highlighted during a Chit Fund industry body meeting in Bengaluru today.Chit Funds address gaps left by the traditional banking sector. They mobilize huge amounts of small savings, and in return allow members to have access in the form of loans to lump sum amount of money that they would often not be able to get from the formal banking. Easy accessibility and flexibility are important aspects of this form of financing. The Chit Fund Act, 1982 is obsolete and needs amendment to several provisions that are inconsistent to the present times and practically not possible to adhere to.
It may be noted that recently Kannada actor Sanjjanaa Galrani and many investors are said to be been duped by Malleswaram based Prasiddhi Chit Funds Pvt Ltd.
The company is accused of duping investors of Rs 1.3 crore. Sanjjanaa alone is said to have been cheated of Rs 28 lakh. Based on her complaint, the Malleswaram police registered an FIR against the owner of the chit fund.
It may be noted that recently Kannada actor Sanjjanaa Galrani and many investors are said to be been duped by Malleswaram based Prasiddhi Chit Funds Pvt Ltd.
The company is accused of duping investors of Rs 1.3 crore. Sanjjanaa alone is said to have been cheated of Rs 28 lakh. Based on her complaint, the Malleswaram police registered an FIR against the owner of the chit fund.
