Lakshmeshwar residents cheated of lakhs in loan scam

Malingaraya Pujar, CH NEWS Several people have allegedly lost lakhs of rupees in Lakshmeshwar after a private firm reportedly collected money by promising loans and subsidies under the Central Government’s Prime Minister’s Employment Generation Programme (PMEGP). The firm, operating under the name Shri Lakshmi Enterprises near Pampa Circle, allegedly attracted applicants who wanted to start small businesses and become self-employed. Through advertisements and pamphlets, the organisation claimed to help people access government loan schemes. According to the victims, the firm collected advance payments ranging from Rs. 20,000 to Rs. 30,000 from each applicant, promising to facilitate loan approvals. Many people, particularly those from rural areas, reportedly trusted the firm after receiving two or three cheques as security for their payments. However, the person who allegedly collected the money has reportedly been missing for about a month. The office has remained locked, leaving applicants unable to contact the organisers or recover their money. Victims have also claimed that the bank accounts linked to the operation were closed. Several affected people, including Chandru Nayak, Sunita Ganesh Lamani and Venkatesh Karbari, have expressed concern over their losses. They said they had approached the police and urged officials to investigate the case, trace the person responsible and help them recover their money. The incident has raised concerns about fraudulent promises of government assistance targeting people seeking financial support for self-employment. Officials and the public are reminded that applications through the government’s PMEGP portal are free. Applicants should verify scheme details through official channels and avoid paying private individuals or agencies claiming to guarantee government loans or subsidies. People who suspect such fraud have been urged to inform the police promptly. Further investigation is needed to establish the full extent of the alleged fraud and identify those responsible.