Coimbatore: The Tamil Nadu Protection of Depository Interest (in Finance) (TNPID) Act Court on Friday dropped a 28-year-old man to 10 years in prison to deceive 16 Investors Rs 41 Lakh.
Inmate, M Mahesh, 28, has also been collected with a fine of RS 12 lakh.
Judge A R Ravi said judgment.
The Public Prosecutor Special Maniickaraj appeared for the victims and requested a strict sentence.
Sources of the Court said that M Prakash, a resident of Chettipallayam Karumandi near Perutai in Erode District, and his sister Mahesh began a rural chicken farm in Kunnathurampalayam near Annur in 2011 and lured 16 people to invest in the company by offering two schemes.
They promised to refund 10,000 per month for 36 months and an annual bonus of Rs 10,000 in each RS 1.5 lakh investment and monthly payment and annual bonus Rs 12,500 on each RS 1.25 lakh investment.
In these two schemes, investors were promised 350 countries and returns the amount of capital at the end of the investment period, which was 36 months, said the source.
16 people together invested Rs 41 lakh in the company, which failed to fulfill promises.
In November 2012, one of the Investors – C Rajan, 52, from MangalakaraPudur near the Karamadai – approached the police of the wing of the economic violation, which arrested the siblings.
Prakash has been punished in this case.
He went underground and had not been traced.
The warrant was issued to arrest it.