Over Rs 55 crore has been returned to 72,000 victims in the Rose Valley chit fund scam. The Asset Disposal Committee completed its eighth phase of fund disbursal, with support from the Enforcement Directorate. The restitution process highlights ongoing efforts toward justice, asset recovery, and investor protection in India.
In a move towards delivering justice to victims of one of India’s largest financial scams, the Asset Disposal Committee (ADC) has announced the completion of the eighth phase of fund disbursement in the infamous Rose Valley chit fund case. The committee, chaired by retired Justice Dilip Kr Seth, has returned over Rs 10.05 crore to 11,883 verified depositors in this latest round.
This disbursal brings the cumulative payout to Rs 55.45 crore, benefiting a total of 72,760 victims across eight distinct phases. These verified claimants were part of a larger group of 2,32,387 depositors whose claims have been scrutinised. The restitution efforts, which began in phased formats, reflect the state’s ongoing commitment to financial justice and transparency.
Sixth Phase Marked the Highest Payout
Among the eight phases, the sixth phase saw the largest disbursal, with over 21,000 victims receiving Rs 17.26 crore. The increasing scale and efficiency of each phase illustrate the evolving capacity of the Asset Disposal Committee to process claims, monetise seized assets, and deliver financial relief to the defrauded investors in a timely manner.
Coordinated Efforts Between Judiciary and Enforcement Agencies
The Asset Disposal Committee’s work is being carried out in close coordination with enforcement agencies and the judiciary. This synergy has improved the pace and scope of the recovery process, turning confiscated assets into tangible reimbursements for thousands of victims.
The eighth phase, in particular, stands out as a key milestone, with nearly 30,000 claims reviewed and over Rs 10 crore disbursed. This is seen as a significant acceleration of efforts, and more phases are expected in the coming months.
The Scale of the Rose Valley Scam
The Rose Valley chit fund scam emerged as one of the largest Ponzi schemes in eastern India during the early 2010s. The company defrauded lakhs of investors in West Bengal, Odisha, Assam, and Tripura by luring them with promises of high returns through unauthorised and unregulated collective investment schemes. The scam ran into thousands of crores, leaving many depositors—particularly those from economically weaker sections—struggling for years.
Enforcement Directorate’s Pivotal Role
The Enforcement Directorate (ED), Kolkata, has played a crucial role in the recovery and asset seizure process. The agency has successfully attached movable assets worth Rs 494 crore and immovable properties worth Rs 1,069 crore. Of these, West Bengal accounts for Rs 1,184 crore in attached assets, underlining the scale and concentration of the fraud in the state.
Through extensive forensic audits, financial tracking, and property seizures, the ED has ensured that the proceeds of crime are effectively channelled into the restitution process. These efforts are being closely monitored to ensure transparency, legality, and speed in fund distribution.
Road Ahead: Phased Justice and Growing Hope
The recent disbursal is more than just a financial transaction—it is a symbol of justice and restitution. Many victims have waited nearly a decade to recover a portion of their hard-earned savings. The ADC’s phased approach ensures that each claim is carefully validated, and victims receive compensation in a manner that is both transparent and legally sound.
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As the committee continues its work, more claims will be reviewed and more funds are expected to be released in future phases. The Rose Valley scam serves as a stark reminder of the perils of unregulated financial schemes and highlights the necessity of stringent enforcement and public awareness.
For the thousands who lost their life savings, each phase of disbursal is a step toward healing, accountability, and restored trust in financial governance. The collaborative efforts between judicial bodies and enforcement agencies mark a positive shift toward upholding the rights of the common investor.
