The Central Registrar of Cooperative Societies has issued a notice for winding up the Lucknow based Prithvi Credit Cooperative Society Limited, according to a delayed news coming to Indian Cooperative desk.
The society was found to be absconding after deceiving its members and investors and not functioning as per cooperative principles.
It is a multi-state cooperative society, having an area of operation in Uttarakhand and Uttar Pradesh. From its several branches the society was doing fraud.
The Circular released with the signature of Vivek Aggarwal, Central Registrar of Cooperative Society read, “Prithvi Credit Cooperative Society Ltd., 102, Sffair, Court Apartment, 3A Jopling Road, Near Lucknow Public School, Lucknow, U.P. 226 001 (Registration No. MSCS/CR/667/2012) is registered under the provisions of Multi-State Cooperative Society (MSCS) Act, 2002 and Rules made thereunder.”
It further read “The Government of Uttarakhand vide letter dated 05.11.2019 reported that the society is found to be absconding after deceiving its members/investors and not functioning as per cooperative principles”.
“The Society was called for personal hearing on 06.03.2020 to appear before this authority through its Chairman/ Chief Executive personally. The Notice was also uploaded on the official website i.e. www.mscs.dac.gov.in. Nobody from the society appeared in the said hearing. It has been decided to issue a notice individually to elected members of the Board/ Directors of the Society”, it further reads.
Accordingly, a letter dated 27.07.2020 was issued to all members of the Board Directors of the Society. Some of them have submitted their reply and denied that they are members of the Board/ Directors of the Society
The letter reads, “In view of above, it appears that the society is not functioning at its registered address. Therefore, it has been decided to initiate the process of winding up of the Society under the provisions of MSCS Act, 2002 and Rules made thereunder”.
In his letter the Central Registrar further said, if anybody has any objection for the same. it may be brought to the notice of the Central Registrar within 15 days from the date of this advertisement uploaded on the official website i.e. www.mscs dac gov.in failing which action would be initiated to wind up the Society.
Earlier, the Society Chairman Piyush Awasthi and several directors of the society were arrested for indulging in the fraud and diverted the funds of gullible investors.
It is being said several investors had invested the money in fixed deposits but after maturity the society management failed to repay their money. It is a crore rupees scam.