Overview
- Police filed an FIR under state deposit‑protection and unregulated deposit laws and detained Shivanand S. Neelannavar over suspected illegal fund‑raising through Shivam Associates.
- Searches at his offices and home recovered bank records, laptops, phones, bonds and depositor data that investigators say will support a forensic audit.
- Officials say the firm lured people with about 36% returns without RBI or SEBI approval and drew money from more than 35,000 investors, including many ex‑servicemen and pensioners.
- Investigators suspect a Ponzi‑style operation and cite exposure potentially running into thousands of crores, with exact figures to be verified by chartered accountants and technical teams.
- Authorities signaled a handover to the Karnataka CID, reported freezes of several bank accounts, and a state process to trace assets and manage claims, while police also probe possible help from bank staff in routing large transfers.