AgriGold depositors meet ends in chaos

Ongole: The management of AgriGold, which allegedly cheated its depositors of crore has now hatched a plan to call for a secret meeting of its depositors who invested over Rs 10 lakh each in the company. It is against the order of the Securities and Exchanges Board of India (SEBI). These depositors made investments in 104 plots where independent houses would be built by AgriGold near Ongole. Each independent house is valued at Rs 13 lakh. Over 50 depositors paid more than Rs 10 lakh to the company.

These depositors formed an association chaired by Mugaluri Nageswara Rao, who heads the AP Consumers Association. Rao reportedly met the managing director of AgriGold 10 days ago and explained the problems of the depositors. The depositors are likely to be asked to shell out more money to provide power, water connection and internal roads. A meeting with depositors was held on Sunday.

Confusion prevailed at the meeting after some agents of AgriGold have also attended. The agents and the media questioned Rao as to why the MD discussed the issue with Rao, when he was reluctant to meet the firm’s depositors and agents. With the entry of the media, pandemonium broke out in the meeting hall.

Consequently, Rao was forced to change his tune, claiming that the meeting was only to decide how to take possession of plots. He claimed that the company had already registered plots to some of the owners. However, it is unclear how the confiscated assets of AgriGold could be allotted to its depositors.

Meanwhile, Dr Ch Divakar Babu, secretary of Vijayawada-based Consumers Guidance Society pointed out that the SEBI has already issued guidelines to the AgriGold not to alienate the properties and not to undertake any kind of transactions. It is illegal and the depositors would once again lose their hard-earned money in this connection, he stated.