By TwoCircles.net Staff Reporter
There seems to be no end in sight for Hyderabad-based Heera Group, with the company now facing cases in Kerala along with the ones already registered in Telangana and Karnataka. The loss of those who have registered complaints amount to more than Rs 2 crores, which means the case will be handed by the Crime Branch or any other agency. The police have reportedly received 17 written complaints on the matter and several other victims have given their names at the police station.
Meanwhile, several others are reported to be keeping quiet about the fraud out of fear of disrepute. It is estimated that around 400 people, mostly NRIs from Malabar, have lost Rs 20 crore in the fraud. The first case was registered on the complaint of a resident of Thalassery who had invested Rs 70 lakhs, against Dr Nowhera Sheikh, CEO of the Heera Group, and manager Muhammed Umar Bakayya from Mumbai. Umar was arrested and released on bail. Though Nowhera Sheikh was given bail by the High Court on condition that she be present before the investigating officials in 10 days and to remit Rs 80 lakh, she could not follow it as she is already in jail. the police have frozen 15 bank accounts of the Heera Group, and prevented the sale of its land and building on Francis Road in Kozhikode.
The Heera Group opened its office in Kozhikode and began accepting investments in 2012. The company had offered profits of Rs 3000 to 3500 per month for an investment of Rs 1 lakh, according to reports. The money would be invested in the company’s businesses including gold, textiles, electronics etc. Share on profits was offered as it did not promote interest, and it was distributed in the initial months too. Later, the profits of 14 months were given together. Though the investors had received the profits in the initial period, it gradually ceased.
Read Part One here Haram in the name of Halal: How Heera Gold promised Acche Din and delivered the opposite
Read Part Two here Confused, hopeful, angry, worried: The many emotions being felt by Heera Gold investors right now
Read Part Three here Everything but Halal: How Bangalore Muslims fell prey to ‘high’ returns in the name of Islam
Read Part Four here Why Halal investments in Kerala do not make news for the wrong reasons
Read part Five here Why Muslims make the wrong investment choices and how to avoid it