Daijiworld Media Network – Mangaluru
Mangaluru, Aug 22: In a major financial scam uncovered in Mangaluru, two individuals have been arrested for allegedly cheating over 3,000 people across Dakshina Kannada and Udupi districts by collecting more than Rs 4.2 crore through a bogus “lucky scheme” operated under the name New Shine Enterprises.
The company, which ran its office from Ayesha Complex near Shamsuddin Circle in Katipalla 2nd Block, lured members of the public by promising luxury prizes through random draws.
According to the police, participants were required to pay Rs 1,000 per month for the first nine months, followed by Rs 1,500 for the last two months, making it a total 11-month scheme.
The victims were promised attractive rewards, including cars, bikes, gold rings, cash, residential plots, flats, and other bumper prizes. However, after collecting crores in deposits, the operators abruptly shut down their office and vanished, leaving thousands defrauded and without either the promised prizes or a refund.
The complaint in the case was filed by Shiva Prasad, 38, son of Anand Salyan, a resident of Surinje village in Surathkal. He alleged that the scheme operated as an unregulated deposit-taking business without obtaining necessary permissions from regulatory authorities.
Based on the complaint, a case was registered at Surathkal police station on August 16 under Crime No. 107/2025, invoking Sections 316(2) and 318(4) of the Bharatiya Nyaya Sanhita (BNS), and Section 21 of the Banning of Unregulated Deposit Schemes (BUDS) Act.
The accused have been identified as Ahammad Qureshi, 34, son of Abubakkar, a resident of Katipalla, and Nazeer alias Naseer, 39, son of late P I Hasanabba, residing near Kordabbu Dwara, Katipalla. Both were arrested on August 19 and produced before the court the same day. They have been remanded to police custody until August 25 for further interrogation.
Preliminary investigations have revealed that both individuals have prior criminal backgrounds.
Ahammad Qureshi is facing two attempted murder cases at Surathkal police station and one case at Mangaluru South police station for obstructing a public servant on duty. Nazeer alias Naseer is also facing an attempted murder case registered in Surathkal.
During interrogation, Qureshi reportedly admitted to having previously operated a similar fraudulent scheme under the name Wafa Enterprises, in collaboration with associates Abdul Wahab and Basheer.
Police have now expanded the scope of the investigation to include those earlier ventures as well. “This was not an isolated scam—it was a well-planned racket involving repeated frauds under different names,” a senior police officer stated.
Police have seized several items from offices located in Ayesha Complex, BMR Complex, and Shine Mart. These include computers, lucky draw coins, draw boxes, official registers, DVRs, and other materials used to conduct the scheme.
Investigators have also moved to seize all assets believed to have been purchased using the proceeds of the scam. These include bank accounts in the accused’s names, gold jewellery, vehicles, residential plots, houses, office equipment, and supporting documents.
Authorities have written to the deputy commissioner, sub-divisional Magistrates, and revenue department officials seeking approval for confiscation of all properties, gold, flats, vehicles, and other valuables under the provisions of the BUDS Act.
Police have also issued an appeal to members of the public who were part of the scheme, as well as the agents who collected funds on behalf of New Shine Enterprises, urging them to approach Surathkal police station with relevant documents and record their statements.
“This case is being taken very seriously, and we appeal to all victims to cooperate in order to ensure justice and recovery,” said an officer involved in the case.
The investigation is being conducted under the leadership of police inspector Pramod Kumar P, with the support of sub-inspectors Raghunayak, Raghavendra Nayak, Janardhana Nayak, and Shashidhar Shetty, along with ASIs Radhakrishna and Suketh G Kotian. The police team also includes personnel Annappa, Umesh, Nagaraj, Satish Sattigeri, Mahesh N, Shafeeulla Sanathayi, Devaraj, and Sunil Kusanal.