2. Sahara Housing Bond Scheme

In December 2010, the Securities and Exchange Board of India (SEBI) banned Sahara chief Subroto Roy and two companies from the Sahara India Real Estate and Sahara Housing Investment for raising money from the public without following Sebi regulations and investor protection measures.

The bonds were issued to 29.6 million investors; SEBI found the fund-raising against the law, filed the contempt petition against Sahara on 2 November 2012 for not following the court’s 31 August 2012 order that directed Sahara to refund 24,029 crore to the 29.6 million investors.

3. NSEL Scam

The Economic Offences Wing (that investigates complicated white collar crime) arrested Jignesh Shah, chairman of Financial Technologies group, and MCX CEO Sreekanth Javalgekar for their alleged role in the biggest payment default in the Indian commodity market.  The estimated scam money was Rs 5,600 crore.

It was found that investors were persuaded by offering fixed returns on paired contracts with agricultural and industrial commodities but in actual the stocks were missing and money was allegedly drain off by so-called borrowers.

4. Saradha Scam

The Saradha Group financial scam was caused by the collapse of a Ponzi scheme, popularly known as chit funding run by Saradha Group, an association of over 200 private companies that was believed to be running a wide variety of combined investment schemes.

 The group collapsed in April 2013, causing an estimated loss of 200–300 billion to over 1.7 million depositors. The employees were arrested under various sections of the Indian Penal Code (IPC) and provisions of Prize Chits and Money Circulation (Banning) Act, 1978.

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