Officials of the district administration and the Department of Cooperation inspected on Thursday the offices of a private investment firm that operated in Belagavi without due permits from government agencies.
These officers, along with some police officers, arrived at the office of Shivam Associates in the afternoon. The inspection went on till night.
Assistant Commissioner Shravan Nayak, who led the team, told reporters that they received information that over 45,000 persons have invested in this firm. Most of the investors are ex-servicemen.
There are allegations that the firm has not obtained due permissions from agencies like SEBI and RBI. The firm is accepting investments with a promise of paying nearly 36% interest per year.
Shivanand Neelannanavar, who owns the firm, also operates other business and charitable agencies. He has organised several programmes like mass lunches, cricket tournaments, folk arts and games and health camps in villages.
