New Delhi 17.01.2020
A Writ Petition, No. 67 of 2020, is filed in Supreme Court of India by CHHATTISGARH ABHIKARTA AVM NIVESHAK SANGH through Advocate Omanakuttan. K. K. and AOR Krishna Kumar Singh, seeking mandamus directing to conduct enquiry into the fraud committed by Million Miles Infrastructure & Developers Limited in different states like Odisha, Chhattisgarh, Assam, Jharkhand, West Bengal, Maharashtra, Arunachal Pradesh, Andhra Pradesh / Telangana, Madhya Pradesh, Bihar etc by collecting approximately more than Rs. 101 Crores from 1.50 Lakh unemployed people and innocent citizens through collective investment schemes without any approval from SEBI.
The Petitioners alleged that the company had offered to provide income source for unemployed youth and attracted them to the various schemes of company by offering commission of 19% at the first year, 13.6% 2nd year etc. The company had also offered to pay maturity amount of Rs. 787.57 Crores against the investment they collected. They had also appointed approximate 35000 unemployed youth as commission agents and convinced them that the different money collection schemes introduced by the Company are as per RBI Guidelines and SEBI.
That the Company had issued bonds with different maturity periods to the
investors which contained a declaration that they have purchased land for the
money invested. Share of the land for the invested amount were allocated in the
form of units to the investors. As per the information printed on the bonds the
company owns 32 Acres of land at Kodebod, Dhamtari, Chhattisgarh and 5 Acres of
land at Kardhaan, Ambala Haryana. After collecting money from investors and
agents, the company closed its offices in different parts of India in May 2016.
The company had also diverted fund to create e-commerce application service in
the name of "Caring Millions".
The company had introduced the following money collection schemes:
A. One Time Investment Plan (Similar to Bank Fixed Deposit)
Land Unit (Infrastructure Realistical Bond) Shareholder Contribution Project Plan for a period of 3 years, 5.5 Years, 7.5 years and 10 years with a minimum investment of Rs. 6,000 with unlimited investment option. The minimum assured return against investment of Rs.6,000 was Rs. 9,000 for 3 years, Rs. 12,000 for 5.5 years, Rs. 18,000 for 7.5 years and Rs. 24000 for 10 years
B. Installment Payment Plan (Similar to Recurring Deposits in Bank)
C. Infrastructure Installment Plant 3 year Plan 39(3) with minimum investment of Rs. 100 per month with assured Return of Rs. 4800 against investment of Rs. 100 per month.
D. Infrastructure Installment Plan 5 Year Plan - MMP59 (3) with minimum investment of Rs. 100 per month with assured return of Rs. 9000 on maturity
E. Infrastructure Installment plan 5.5 year Plan - MMP569(1)
F. Infrastructure Installment Plan 6 year Plan - MMP69(1)
G. Infrastructure Installment Plan 7 year Plan - MMP79 (3)
H. Infrastructure Installment Plan 10 year Plan - MMP109(3) with different minimum investment and assured return as per the scheme details annexed.
I. One Time Pay and Get Benefit in Installments (Similar to Post office Monthly Investment Scheme)
Infrastructure Realistic Monthly Project Return Plan with minimum investment of Rs. 12,000 for 3 years and 5 years with assured return of 12% and 16% respectively.
The Petitioners prayed for the following relief:
1. Issue a writ of mandamus or any other appropriate writ directing the SEBI or any other body to investigate the matter, quantify the loss incurred to the investors and direct the appropriate authority to do the needful to refund the amount to the investors.
2. Issue a writ of mandamus or any other appropriate writ directing the SEBI or any other body takeover all properties owned by the Respondent company / related parties, sell it and refund the amount to the investors.
3. Issue a writ of mandamus or any other appropriate writ directing a Court monitored investigation by the CBI into the issue raised in this petition and punish the responsible persons.
The Petitioners sought the following interim relief:
1. Issue a writ of Mandamus or any other appropriate writ, order or
direction in the nature thereof, restraining the Police and other authorities
registering complaint against the investor cum agents worked for the Respondent
Company;
2. Issue a writ of Mandamus or any other appropriate writ, order or direction
in the nature thereof, restraining the Company and its directors from selling
the properties owned by the Respondent Company.