Over 40 lose lakhs in instant loan fraud, four arrested

Indore: A promise of instant loans at low interest left around 40 people in Indore counting heavy losses after a finance company allegedly vanished overnight with their money. Vijay Nagar police on Saturday arrested four persons in this connection.Vijay Nagar police station in-charge CB Singh said many of the victims arranged the funds by borrowing from relatives, hoping the loan would help them manage medical needs, business expenses or household debt.
The fraud was run under the name Quickright Finance Company from an office in Shagun Arcade. Investigators said the accused lured residents with offers of loans up to Rs 5 lakh without a guarantor, asking them to deposit 20 percent margin money in advance. Victims were told the amount was a processing requirement and were issued receipts, creating a sense of legitimacy.Police said once large sums were collected, the accused shut the office and became untraceable. A case was registered after multiple complaints from victims, who realised they were cheated. During investigation, police tracked and arrested 33-year-old Shivam Tiwari, identified as the main operator, along with 27-year-old Devendra Golkar, 30-year-old Vinay Nagar and 21-year-old Mitali Yadav, who worked as the company manager. They were booked under relevant sections of BNS. Singh said, Tiwari earlier worked in a microfinance company and allegedly used that experience to design the scheme. Police estimate the group collected around Rs 25 to 30 lakh as advance margin money. Some victims said they trusted the set-up because it operated from a commercial complex and maintained formal paperwork. One of the complainants said, "We believed it was genuine because everything looked official. We paid from our savings thinking the loan would solve our problems."Police said more victims may come forward as the investigation continues and urged residents to verify financial firms before depositing money.