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Has India become a capital of financial frauds?

In India, it is very easy for criminals to do financial frauds because laws are very poor to handle such crimes. Therefore, we see massive financial frauds done by criminals, political leaders and bureaucrats on regular basis. From where these people get so much confidence to do all this, the answer is simple – No fear of prevailing laws. Present laws are not enough to grill such people and if any how they are caught then they move away with lighter punishments.

These financial frauds range from few crores to lakhs of crores. One of best option to make quick money is to start a financial chit firm or survey firm; then they lure people to invest in their companies for much better returns as compared to registered companies. However, the major problem with these companies is that they do not work as per prevailing laws and misguide people about their investments. These companies do offer incentives to people for adding more numbers of people.

Ordinary people generally got carried away by such plans and advertisements and they invest in such companies without proper investigation. Initially, these companies give good returns for few initial years to attract more numbers of investors. Many such companies soon disappear after collecting crores of rupees of people. Similarly, our leaders and bureaucrats do eat large sum of money originally granted for welfare works.

Every year, we see many such frauds coming to surface; however, non availability of proper laws make it hard for investigating agencies to pursue their case against such people. Therefore, these people move free after doing massive financial frauds and plan new frauds. It is very important for country like India to make much stronger laws so that such companies or people can be punished and no one should try to commit such crimes in future.

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