A couple from Kerala is suspected to have fled to Kenya after allegedly cheating nearly 800 investors out of ₹40 crore (approximately Ksh601.7 million) through a chit fund and finance business based in East Bengaluru, India.
Tomy A Varghese (57) and Shini Tomy (52), originally from Alappuzha, reportedly ran A&A Chits and Finance for over 25 years, promising investors monthly returns of 15% to 20%.
The couple built trust by delivering early returns, encouraging many to invest large sums, and some have been reported to have even sold their homes.
However, the scheme began to unfold when the payouts stopped. Investors attempting to contact the couple found their phones switched off and the firm’s office shut down.
Unfortunately, it was too late then. The couple had allegedly sold their apartment in Krishnarajapuram, liquidated their vehicles, and boarded a flight to Kenya on July 3.
Police have reported that they left the country just two days before the first official complaint was filed.
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How the Kerala Couple Runs the Scam
The couple used a chit fund model, where members contribute a fixed sum monthly and take turns receiving the pooled money, either through a lottery or bidding process.
Although legal chit funds exist, unregulated ones, like this case, end up as frauds.
At first, the scheme appeared legitimate. Early investors received returns on time, but as the fund grew, the couple reportedly siphoned off money, stopped payments, and vanished.
Police say the couple sold their property at below-market rates in what appeared to be a well-planned exit strategy.
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Police Investigation and Public Outcry
Police confirmed that over 400 formal complaints have been filed since July 5, and the number continues to rise.
“We estimate over 750-800 victims and a total fraud of close to ₹40 crore,” police commander Devaraja said.
He noted that most of the complaints come from Kerala, where the couple had a trusted network.
One senior citizen said he lost ₹70 lakh (Ksh 10.5 million).
“We trusted them for decades. Now they’ve duped hundreds of people. We even approached top leaders like DK Shivakumar and the Home Minister for help.”
The case has been registered under multiple sections of the Bharatiya Nyaya Sanhita (BNS), the Chit Funds Act of 1982, and the Banning of Unregulated Deposit Schemes (BUDS) Act of 2019.
Indian authorities are now working with international agencies to trace the couple in Kenya and bring them to justice.
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Please deport the culprits back to India we thanks to authorities of Kenya. This is humble request for your action.