Goondas Act invoked on economic offenders for the first time in Tamil Nadu

In a bid to combat economic crimes, the Economic Offences Wing (EOW) has begun detaining economic offenders under the Goondas Act.

The action was expected to serve as a strong deterrent to potential offenders, sending a clear message that economic offences would be met with strict and immediate consequences, said Director-General of Police (DGP) Shankar Jiwal.

In light of the rising incidence of financial frauds in Tami Nadu, the government, through an order dated July 8, has empowered the EOW to detain economic offenders under the provisions of the Tamil Nadu Goondas Act.

The EOW, Dindigul Unit, registered a case against the founders of Sree Nesha Company — C. Senthilkumar, his wife Jeyanthi, and their relative Sakthivel. The company allegedly defrauded investors by promising two grams of gold coin and 2.5% rate of interest for 180 days on their investment of ₹5 lakh. They promised that they would return the invested money after 180 days. They also claimed that the money collected through Sree Nesha Niruvanam would be used for the education and medical treatment of Scheduled Tribes. However, the investors did not receive their money back.

Following this, the EOW arrested Senthilkumar and Jeyanthi, the prime accused in the scam. They were remanded in judicial custody on July 16 and lodged at the Madurai Central Prison.

Following recommendations from the Superintendent of Police, EOW, South Zone, Dindigul Collector S. Saravanan issued an order to detain Senthilkumar.