BENGALURU : Senior Congress leader R. Roshan Baig on Wednesday demanded that IMA Jewels scandal be handed over to the Central Bureau of Investigation (CBI). The demand comes a day after Karnataka chief minister H.D. Kumaraswamy announced the formation of a special investigation team (SIT) to probe the Bengaluru-based company that has allegedly defrauded thousands of people to the tune of at least 700 crore.

“The government has formed the SIT and I welcome that. However, along with IMA there are many other companies and they have duped many people," Baig said in Bengaluru on Wednesday. The main accused, Mohammed Mansoor Khan, had named Baig as part of the conspiracy to drive the former out of the city and also alleged that the legislator had borrowed 400 crore from IMA.

Hundreds continue to stand outside the Shivaji Nagar showroom of IMA Jewels, part of I Monetary Advisory, unwilling to budge until they get clarity over the repayment of investments made over the years. IMA had collected investments claiming to invest in commodities like gold, silver, property and promising returns of around 3% per month or around 36% per year.

Baig, in a series of tweets earlier in the day, wrote that his political adversaries had made a full-fledged attempt at assassinating the former’s character by orchestrating a series of events using underhanded methods.

Karnataka’s food and civil supplies minister and minority welfare minister B.Z. Zameer Ahmed Khan is also allegedly involved in the scam.

“It is true that I have had business associations with IMA. It’s a 13-year-old company and I had sold them a plot of land for 9.36 crore, there is a sale deed. If any further involvement of mine is proved then I am willing to face any punishment," he said in Bengaluru on Wednesday.

Meanwhile police said seven people, all directors of the company, have been arrested and two cars have been seized so far. “We will be taking them into police custody and inquiring further," the police official said, requesting not to be named. The police have so far received over 11,000 complaints.