Special MPID court sentences 71-year-old man to 3 years in jail for cheating investors of ₹1.39 Crore

Mumbai: The special MPID court has sentenced a 71-year-old man to three years in prison for criminal breach of trust by failing to repay money worth Rs 1.39 crore to investors.

About the case

The accused accepted deposits from investors between 1993 and 1998 promising 18% returns. The EOW had filed a case in 2002 against car dealer Dhirajlal Damania, his wife Geeta and a businessman, Atyam Mohan, based on the complaint of several investors for cheating them of Rs 1.39 crore.

According to the prosecution, Damania had several automobile and financial related businesses. In 1997, he borrowed money from people who promised a handsome return of 18% per annum to invest in one of his companies. The investors received interest money until July 2000. After that, the company did not pay interest and did not return the principal amount. The said company was then closed down, leaving the depositors in the lurch. As a result, one of the investors, Laxmidas Thakkar, filed a complaint against Damania.

The court found Damania guilty of breach of trust because he failed to repay the principal amount.

Published: Sunday, July 21, 2024, 10:05 AM IST