Chit Company fraud

A running chit fund of golamamidala, Pedapudi mandal ,East Godavari escaped with Rs.8 crore he had collected from members,  The state witnessed many scams by non-banking financial institutions and chit fund companies in recent years.

According to police, 9,625 economic offences were reported in the state during 2012, an increase of 16 percent over 2011. The money involved in the offences was Rs.1,507 crore last year, against Rs.2,913 crore the previous year.