After two years in hiding, a 50-year-old man named Franklin was arrested on Friday by the Economic Offences Wing (EOW) police in Erode for his involvement in a major cheating case linked to a fraudulent investment scheme.
The scam began in 2017, when Naveenkumar (38) from Edaiyankattuvalasu in Erode launched two companies — Unique Exports and East Valley Agro Farms — and appointed himself as managing director. He partnered with Muthuselvan, an ex-serviceman from Ramanathapuram, and lured the public with promises of lucrative monthly returns of ₹18,000 for every ₹1 lakh invested.
Initially, investors — including numerous ex-servicemen and their families — received payouts for two months. But soon after, the payments stopped and the companies were abruptly shut down, leaving investors in the lurch.
Hundreds of victims approached the police. A case was first registered by the Erode District Crime Branch, and Naveenkumar was arrested in 2023 while trying to flee to Dubai. The case was later handed over to the EOW.
On Friday, Franklin was traced and arrested at Nanjundapuram Perumal Kovil Street in Coimbatore. Authorities confirmed that over 400 affected investors have come forward seeking justice and recovery of their funds.