IMA Scam: Long Road To Recovery Begins For Thousands Of Poor Investors

For thousands of investors allegedly duped in the IMA scam that came to light last year, the long process of recovering their money began on Wednesday, with a one-month window before them to make their claims.

Under the multi-crore ponzi scheme that unravelled in 2019, Bengaluru-based IMA Jewels proprietor, Mohammed Mansoor Khan, duped investors of hundreds of crores of rupees.

After having collected the money from thousands, and after paying good returns initially, Mr Khan stopped payments and disappeared abroad last year, only to be arrested later. On Sunday, the Central Bureau of Investigation also arrested suspended Congress MLA Roshan Baig in Bengaluru in connection with the scam.

The investors' total claim amount is likely to be Rs 1,400 crores. Assets worth Rs 475 crores have been seized from the perpetrators of the scam, but auctioning them will take months.

"I invested Rs 1 lakh in 2016. I...have given complaints in different places. Until now nothing has happened. They keep saying, it will come...I do have faith that the money will come back. That is why I have been filing complaints," said Abdul Gafoor, a Bengaluru auto rickshaw driver and father of two.

Up to a lakh claims like that of Mr Gafoor's are expected over the coming month.

By Thursday, many people were already queuing up in Bengaluru to complete the paperwork towards their claims.

"We invested Rs 2.5 lakhs. We were getting money initially. But it stopped in the last two years...We have put our faith in God...There are 10 people at home. One is to get married," said Zubaidunissa, one IMA investor in queue to recover her money.

Syed Musa, who has invested Rs 1 lakh, has been given a token and is now waiting to see how the whole process goes along.

Authorities are trying to keep the claims process simple and online, but that may not work out easily for everyone.

For instance, Mr Gafoor, said, "I just went and came back from Bangalore One. There is a big rush there. Many people are going there to complain. It is very difficult. To add to it, I am a heart patient and cannot wait there for a long time."

Nevertheless, for people like him, who have waited for over a year to get their money back, even this first step forward is a welcome one.