AP police neglected SEBI directive on Agri Gold

Vijayawada, Jan 20, 2015: It has now come to light that the AP police had neglected the directive of the Securities Exchange Board of India ( SEBI) to file cases against Agri Gold Farms Limited ( AGFL) in 2013 for illegally collecting deposits from the people. If the police had filed a case and prevented the company from collecting deposits, the fraud committed by the company would not have been that much bigger, according to Ch.Divakar Babu, Secretary of the Vijayawada based Consumer Guidance Society. Asking the depositors not to depend on the CID which has been probing the fraud committed by the Agri Gold Company, Divakar Babu has asked them to approach the SEBI directly to recover their amounts. SEBI had informed one L.Nagaraja of Karnataka in Nov 2011 that the Agri Gold was not registered with the SEBI and it had no permission to collect deposits from people, he said. He said that the SEBI had also asked the AP Government in May 2013 to file case and prevent Agri Gold from collecting deposits and investigate its affairs, he added. However, the government and the police officials had totally neglected its directive, he said, adding if a case had been filed against the company, at least some thousands of depositors would not have lost their valuable savings.