I truly appreciate your time reading below question/situation.
My Dad joined a chit fund company as a field agent in 2003, the name of the company is GN DAIRIES LIMITED, GND (INDIA) LIMITED and GN GOLD LTD. They run a money rotation Ponzi scheme.
Business of the firm - The Company take money from common people, after showing their lucrative returns plan which not very extraorbitant; they claim to double the money in 7 years. They have shown that they have deal in dairies, gold etc. and return money from their Profit.
How we got trapped
• My Dad had studied only till 11th Grade, he was working in cloth mill as worker before he joined this Ponzi scheme company- GN dairies and Gold.
• When my dad joined, I was studying in 12th Standard and at that time there was I even did not know how to use internet.
• My dad was introduced to this firm by some influential friend and they took him to Delhi/Punjab to show actual farms/factories of this firm. They showed companies ROC, some photograph with Company’s MD receiving award from Punjab’s governor for some social achievement. All looked good.
• My dad did not had any idea of what he is dealing with and he joined the company. They had very lucrative commission rate on business done by individual.
• Company had 12 level of field agents (who raise money from public) my dad joined directly on 9th level, he introduced this to many of his friends/ acquaintance and their friends and acquaintance. That is how it all started
• We were very low middle class family when my dad started working with this firm, gradually he started earning well from this and he left his regular mill workers Job.
• He never took a single penny and had record of each payment he submitted to various offices of this dubious firm
When we tried to come out of the mess
• I started doing my engineering in 2004, gradually during my Final year I was sure that the firm my dad involved in is not legal as per Indian laws
• I told my dad to leave it as soon as he can, but he could not because if leaves the firm he will not be able get money of investors he put in the firm
• He started clearing payment of investors, but he had to continue working with firm
When the Problem started –
• The firm was blacklisted by SEBI and SEBI issued a order against them
• Other people who were working below my dad quit the firm and joined some other dubious firm and some started their own chit fund Ponzi company
• My dad stayed on to get money of investors
Situation as of today-
• Firm started defaulting on investors’ money
• My dad has paid more than 5 lakhs from his own to some
• He has policies in name of our own family with investment over 10 Lakhs
• People who left the firm and were working with or below my dad and who are still working in some dubious firm filed complaint and cases at many police station
• There are cases lodged against my dad (under 420/34) and he is absconding, people are giving him death threats, some of them attacked him
• No case was lodged by any investor as my dad is trying his best to sell of all out ancestral property as well to pay them off
• Cases were filed by my dad’s co-worker who are as guilty as my dad is, they could pull it off because of some influential political connections
• Can a co-worker file a case against my dad when he is as guilty as he is?
• Can my dad be tried rather than company’s directors, who are absconding and took all the money?
• What legal recourse option do we have
Thank you reading this. I appreciate you spending time on this and your valuable suggestion. We have very dire situation my dad may contemplate suicide. Please Help