Suitcases for lucrative postings

Khaki, Black Money - Part 2

Investment and recovery games thrive inside the police force

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Kolhapur: In Maharashtra’s police force, where one is posted often matters more than what one does. Police stations that promise “high returns” trigger fierce competition among officers and staff. To secure such postings, deals are struck quietly. What was once paid in envelopes has now graduated to suitcases. Those who cannot match the price are pushed to side postings. Those who do pay know only one thing: the clock on recovery starts ticking from day one of assuming charge.

This recovery has well-defined routes. Illegal trades provide steady monthly collections; criminals are used as conduits to generate big money. But greed, it appears, has crossed a line. In recent times, some officers have allegedly moved beyond extorting the accused — they have begun milking the complainants themselves. Who will put a stop to this?

During the Covid period, Kolhapur witnessed a mushrooming of investment firms promising fourfold or even tenfold returns. At a time when the economy was reeling and nationalised banks were offering barely five per cent annual returns, these firms floated schemes claiming to double money within a year. Slick marketing teams were deployed, five-star hotel presentations were organised, and top “performers” were rewarded with incentives running into lakhs.

Overnight Rich

Young men who once did not own a scooter became overnight crorepatis, cruising around in Mercedes and BMWs. This was a financial mirage, and Pudhari was among the first to flag it, demanding a probe into firms openly looting the public. The warnings were ignored. When action finally came — too late — instead of attaching the accused’s assets, the battered investors themselves were put through the grinder.

Follow the money — who collected it and where it was funnelled — and the public’s growing distrust in the police becomes easier to understand.

The scale of investment in Kolhapur alone ran into hundreds of crores. Rural schoolteachers were trapped in large numbers. In urban areas, doctors, engineers and senior officials fell prey. In a major multi-specialty hospital, even sanitation workers, attendants and ward boys invested their savings, lured by the promise of extraordinary returns. The hospital employees’ union president allegedly doubled up as an agent for the investment firm.

Initially, promoters issued cheques to build confidence. When those cheques began bouncing, panic set in. Investors rushed to the police. But at a central Kolhapur police station, instead of slapping handcuffs on the accused and attaching their properties, the complainants were hauled into the dock. Where did you get this money from? the police demanded, in classic strong-arm fashion.

An officer and his brother-in-law allegedly negotiated “settlements” with terrified complainants. Determining the legality of income is the Income Tax Department’s job; the police have limited powers in questioning sources of funds. Yet, posing as income tax officials, crores are said to have been extorted from complainants. One such case is currently under hearing before the High Court’s circuit bench, which has pulled up the authorities sharply and ordered affidavits.