PACL chit fund scam: 1.27 million investors get back a total of Rs438 crore | Mint
Active Stocks
Wed Feb 21 2024 10:56:26
  1. Bharti Airtel share price
  2. 1,152.15 0.70%
  1. Tata Steel share price
  2. 144.15 2.20%
  1. State Bank Of India share price
  2. 762.50 0.32%
  1. Power Grid Corporation Of India share price
  2. 283.15 -1.67%
  1. ITC share price
  2. 407.35 0.32%
Business News/ Companies / News/  PACL chit fund scam: 1.27 million investors get back a total of Rs438 crore
BackBack

PACL chit fund scam: 1.27 million investors get back a total of Rs438 crore

PACL was banned in 2015 by the regulator for illegally collecting at least Rs49,100 crore from 58 million investors over 18 years

The R.M. Lodha committee has been processing applications received from investors in a phased manner, slab wise, and currently applications with claim amount up to Rs10,000 have been processed and payments have been effected in respect of eligible claim applications. (Aniruddha Chowdhury/Mint)Premium
The R.M. Lodha committee has been processing applications received from investors in a phased manner, slab wise, and currently applications with claim amount up to Rs10,000 have been processed and payments have been effected in respect of eligible claim applications. (Aniruddha Chowdhury/Mint)

As many as 1,270,849 investors of PACL Ltd, with claims of up to 10,000, have been returned a total of 438 crore as of 31 March 2021, the Securities and Exchange Board of India (Sebi) said on Tuesday.

PACL was banned in 2015 by the markets regulator for illegally collecting at least 49,100 crore from 58 million investors over 18 years. In 2015, the Supreme Court had formed a panel under retired Justice R.M. Lodha to dispose of PACL’s assets and refund the money. The committee had, through a press release on 8 February 2019, asked PACL investors to submit applications for refunds online.

“The committee has been processing applications received from investors in a phased manner, slab wise, and at present applications with claim amounts up to 10,000 have been processed and payments have been made in respect of eligible claim applications. The payments are processed after verification of documents uploaded by the investors along with their applications and payment amount calculated accordingly," Sebi said in a note.

According to the regulator, the applications where investors have indicated or marked land allotted field as “Yes" or where land has been allotted to the investor according to records provided by PACL, have been kept on hold and will be taken up for consideration later. Cases where “deferred or endorsed" has been mentioned on the PACL certificate have also been kept on hold.

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

Catch all the Corporate news and Updates on Live Mint. Check all the latest action on Budget 2024 here. Download The Mint News App to get Daily Market Updates & Live Business News.
More Less
Published: 27 Apr 2021, 04:26 PM IST
Next Story footLogo
Recommended For You
Switch to the Mint app for fast and personalized news - Get App