Paralakhemundi: The Adava Police in Gajapati district have busted an alleged money lending and gambling finance racket that had been operating for a considerable period by luring people with promises of easy loans and collecting their valuables as security.
The police have arrested the prime accused, identified as K. Rabindra Reddy, and seized ₹3,61,200 in cash, 137 motorcycles, 127 mobile phones, vehicle registration certificates and smart cards, agreements, stamp papers, and several other incriminating documents from his possession.
According to police, the racket came to light following a complaint from a victim who alleged that Reddy had offered him a loan of ₹20,000 against the deposit of his motorcycle and related documents around six months ago. The accused had also reportedly obtained the complainant’s signature on a blank stamp paper.
When the complainant later approached Reddy to repay the loan and reclaim his motorcycle, the accused allegedly kept delaying the matter on various pretexts before ultimately refusing to return the vehicle. The victim subsequently lodged a complaint with the police.
Acting on the complaint, Adava Police launched an investigation under the supervision of R. Udayagiri Sub-Divisional Police Officer Rakesh Sahu. A raid conducted at the accused’s residence led to the recovery of a large number of motorcycles, mobile phones, cash and documents.
Preliminary investigation suggests that several other individuals may have been similarly duped after depositing motorcycles, gold ornaments, mobile phones and other valuables in exchange for loans. Police suspect that the accused had been operating the scheme for an extended period and are now examining the extent of the fraud.
Investigators are also probing whether other persons were involved in the racket and are working to identify additional victims. Further investigation is underway.
