Udupi: Fake gold used to borrow Rs 20 lakhs from co-op society, complaint filed

Udupi: A complaint has been filed alleging that a member of the cooperative society defrauded Rs 20.62 lakhs by depositing counterfeit gold for borrowing money.

According to the complaint filed by Jalendra Kotian, the secretary of the Adarsh Grahakara Saharaki Sangha at the Udupi City police station, a member of the society identified as Muhammed Riaz had taken loans by depositing fake gold as collateral.

As per the complainant, the scam came to light after Riaz along with his wife and another person named Dawood Aboobaker arrived for a loan on September 5. They produced 2 necklaces as collateral. Suspecting something amiss, Jalendra got the gold verified for authenticity. The gold was found to be fake. The accused, meanwhile, fled from the spot.

When the gold earlier deposited as collateral by the accused at the society was checked, it was also found to be counterfeit. A total of 527.8 grams of gold deposit for borrowing of Rs 20,62,000 was found to be fake, the complaint alleged.

A case has been registered in the Udupi City police station.