Nityananda Bhagawati, the Chief Managing Director (CMD) of Assam Gramiya Nidhi Bank, was arrested in Guwahati after confessing to using consumer deposits for high-risk equity trading. Bhagawati had lured unsuspecting customers with promises of monthly returns up to 12% on their savings, orchestrating a massive Rs 200 crore scam that left hundreds of investors in financial turmoil.
The 39-year-old bank head, hailing from Nayakpara in Assam’s Sipajhar, established the bank four years ago in Narengi. To expand his customer base, Bhagawati recruited agents who targeted small businesses and daily wage earners across Assam, convincing them to open accounts with his bank.
Initially, the bank fulfilled its high-return promises, paying investors as advertised. This fostered trust, with many people depositing amounts ranging from Rs 50,000 to Rs 5 lakh. However, about a year ago, the bank abruptly stopped payouts, with Bhagawati offering various excuses for the delays.
Investors grew suspicious and began filing complaints at Noonmati police station, prompting an investigation. Despite initially assuring police in writing that all funds would be returned, Bhagawati later absconded, leaving many without their savings.
After a year-long search, Bhagawati was finally arrested in a targeted operation in Beltola. In police interrogation, he admitted to using the deposited funds to trade on online equity platforms. Investigators are now working to trace the misappropriated funds and identify any accomplices involved in the scam.
This arrest provides some relief to the defrauded investors, but their chances of recovering the full amount remain uncertain. The police have assured that further steps will be taken to bring justice to the victims. Bhagawati is currently in custody, and authorities are continuing their investigation into the full scope of the scam.
