T.N. government introduces SOP to streamline property attachment in deposit fraud cases

The State government has introduced a standard operating procedure (SOP) to streamline and standardise the attachment of properties in cases involving financial fraud and depositors’ interests, improving the efficiency of ad-interim attachment proceedings.To expedite the disposal of cases registered under the Tamil Nadu Protection of Interests of Depositors Act (TNPID), 1997, the government has designated District Revenue Officers (DROs) in all districts as competent authorities. Zonal Superintendents of Police of the Economic Offences Wing (EoW) have also been appointed as Competent Authorities in cases where the default amount exceeds ₹10 crore, said the Policy Note of Home Department. The move aims to reduce DROs’ workload and expedite property attachment, auction proceedings, and disbursement of compensation to affected investors.During the period under review (from January 1 to July 31), 26 new cases relating to financial fraud were registered under the TNPID (Financial Establishments) Act, 1997, the Banning of Unregulated Deposit Schemes Act, 2019, and other relevant laws. A total of 1,177 complaints involving ₹67.54 crore were received. The police arrested 54 accused and executed 14 non-bailable warrants.The policy note said properties worth ₹136.71 crore were identified for ad-interim attachment. The government received 95 proposals for attachment of properties valued at ₹152.52 crore and subsequently issued 50 Government Orders for attachment of properties worth ₹99.95 crore. Compensation of ₹23.53 crore was disbursed to 2,224 affected investors through courts and DROs.Investigation was completed in 53 cases and final reports were filed before the special courts. The courts took cognisance of 30 cases. Convictions were secured in eight cases, while two cases were disposed of through compromise. Four cases ended in acquittal and nine were closed on other grounds.In order to trace accused, who are on the run, 25 Look Out Circulars were initiated and issued, resulting in two persons being arrested. Another accused was arrested following the issuance of a Red Corner Notice by INTERPOL, the note added. Published - September 04, 2026 08:15 pm IST