A Comprehensive Analysis of West Bengal Chit Fund Scam

Saradha Group was a consortium of Indian companies running a wide variety of ponzi scheme in the guise of collective investment scheme  (popularly but incorrectly referred in rural India as chit fund  in Eastern India. The group collapsed in April 2013 causing an estimated loss of over INR 20,000 crores (4 billion USD).

In the aftermath of this financial scandal the State government of West Bengal set up an inquiry commission to investigate the collapse and have also announced setting up a fund of INR 500 crores to ensure that smallest investors are not bankrupted.

However this scam has revealed the long existing nexus between Businessmen, Politicians and Media Houses. According to sources, Sudipta Sen acquired 18 newspapers and channels in Bengal and Assam and  all of them pandered to the Trinamool COngress.   According to one of the Editors of Sen’s Newspaper, he was asked by the Sudipta Sen to take a pro-government stand which he refused.