Chennai businessman held in Kochi for cheating two of Rs 40 lakh

Kochi, Oct 31 (PTI) A Chennai-based businessman, who had earlier levelled allegations against CPI(M) leaders, was arrested on Friday for allegedly cheating two people of Rs 40 lakh, police said.

The accused was identified as Muhammad Sharshad (48), a resident of Nungambakkam, Chennai.

According to police, Sharshad is accused in two cases registered at the Ernakulam South Police Station on September 16.

He allegedly collected Rs 30 lakh from a Kadavanthra resident and Rs 10 lakh from another person from Elamkulam in 2023, promising 24 per cent annual returns through investments in a firm named Penda Private Limited.

“Sharshad had claimed to be the company’s director, while one Saravan, a Tamil Nadu native, was introduced as the CEO. He also promised the complainants a 5 per cent stake in the firm,” a police officer said.

However, the accused neither returned the invested money nor kept his promises, police said.

Following a court directive, police registered a case after the complainants approached the court seeking an investigation, the officer added.

Sharshad, who had earlier alleged that a UK-based businessman was a "benami" of CPI(M) leaders in Kerala and accused party state secretary M V Govindan’s son of leaking his complaint, was arrested from Chennai and is being brought to Kochi, police said.

He will be produced before the court on Saturday, they added. PTI TBA SSK