A flying squad has been deployed in Dakshina Kannada to target entities luring the public with unauthorized schemes promising lavish rewards like apartments, vehicles, and gold. The move comes after the CCB team inspected an organization’s operations, prompting the city police commissioner to direct station-level inquiries into similar activities.
Additional Deputy Commissioner (ADC) Dr. G. Santhosh Kumar urged thorough investigations, stressing the importance of addressing complaints about misleading schemes. According to Reserve Bank of India (RBI) guidelines, large-scale financial or gift schemes must follow strict protocols, yet many operate without approvals from authorities such as the MCC or local bodies.
Citizens allege these schemes collect over ₹1 crore monthly through installments ranging from ₹1,000 to ₹3,000, bypassing tax obligations. As per law, gift or lottery winners must pay a 30% tax, but compliance is reportedly lacking, raising concerns about potential tax evasion.
Highlighting the government’s stance, Dr. Kumar noted, “Lottery tickets are banned in Karnataka, and unauthorized money collections will not be tolerated. Enforcement measures are already underway.”
Authorities aim to clamp down on these schemes, ensuring public safety and legal compliance.
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