Kalbadevi-based (Mumbai, India) stock broking firm dupes investors of Rs 4 crore
A stock broking firm duped investors of Rs four crore, taking advantage of the boom in the stock market. The two directors of the firm have fled the country. Brothers Tulsi Parmanand Jashnani and Haresh Parmanand Jashnani, directors in Kalbadevi-based Jashnani Leasing and Finance Limited, lured people into investing in shares by showing them rosy pictures of earning huge profits in the booming stock market.
According to the police, the firm was in the share business for many years and had earned the trust of its clients. People issued cheques, amounting to Rs four crore, in favour of the firm for purchase of shares. The Jashnani brothers had promised to transfer the shares in the demat accounts of the clients. However, instead of keeping their side of the deal, the brothers encashed the cheques into their account (with the Ichalkaranji Janta Sahkari Bank at Kalbadevi).
Some investors got suspicious when shares were not transferred to their demat accounts. Enquiries revealed that the brothers had fled the country with their families, locking their residences. The brothers not only duped investors but also forged signatures of their cousin, also a director in their firm, while issuing bogus purchase bills (of shares) to their clients. The cousin, Jairam Manghandas Jashnani (48), was arrested under sections 409, 420, 465, 467, 468, 471, 474 and 120 (B) of the Indian Penal Code and remanded to police custody till February 18. He is being questioned by the Economic Offences Wing (EOW).
