Women thrash fraud firm MD

MUMBAI: The police faced a tough time in protecting Rahul Patil, the managing director of Symbiosis Gold Trade, who allegedly duped thousands of investors across Maharashtra. A group of investors, mostly women, began hitting Patil with chappals when he was brought to the Esplanade court on Tuesday. Patil has been accused of cheating over 530 investors.
The police arrested Patil last week and had brought him to court for further remand. Economic offences wing (EOW) officials on Monday arrested Patil's office manager, Sheila Rajan Rathore alias Jenny (29) in the same fraud case. On Tuesday, soon after the policemen brought Patil out of the court premises after producing him there, a group of women approached Patil and began hitting him with chappals. "Give our money back!," they demanded. Of the Rs 86 crore invested in Patil's multi-level marketing firm, the investors were repaid Rs 74 crores. "Patil has not paid the remaining Rs 12 crores to investors," said investigating officer Vinayak Chavan of the EOW.
The investors include Air India employees, nurses, from the Byculla railway hospital,
policemen, journalists, doctors and engineers. Patil promised to double the investment in one year. "I retired from the railways in 2009. I had got my provident fund amount and invested around 2.50 lakh in the scheme. I got only two instalments. Patil had promised a return of 10% profit on the investments," said J N Sanghya, an investor.
Patil was arrested after being on the run for over one and a half years. Patil had alleged that the underworld was threatening him and he needed time to repay the amounts. He shut down his four offices in Mumbai and disappeared. He had appointed commission agents, who would get Rs 200 for enrolling a member. Moreover, the agents would go door to door to pay investors their "profit".
Patil, along with his brother, had started the company in 2001. The company said that the investors will be given a 10 per cent profit on their investment. According to the company's promise, if a person invested Rs one lakh, besides his actual investment he would get Rs 1.20 lakh as profit at the end of the year. The company invited investors to fund the firm to invest money into real estate and making movies. No movie during these days were ever made by the accused, said police.