IANS

New Delhi, Jun 13: Subhash Aggarwal, who has been accused of duping thousands of people in the national capital, was arrested along with his wife Snehlata Saturday, police said.

"We arrested Subhash Aggarwal and his wife Snehlata this morning from Nagloi. An inquiry by the Economic Offences Wing is on," a police official said.

Aggarwal allegedly duped around 5,000 residents of Nangloi in northwest Delhi of about Rs.1,000 crore (Rs.10 billion) with his 'get-rich-quick' scam.

He took money from people after giving them assurance that it would be doubled and returned to them within a short period. Aggarwal fled after issuing cheques in the name of his company Stop Loss Commodity. The cheques later bounced.

"Aggarwal allegedly lured people to invest Rs.10,000 for which he promised Rs.1,000 as interest every month. To some he even offered to double their investments in two to six months," another police officer said.

"He used to give post dated cheques to all to gain their confidence. However, on May 19 some investors went to the bank to collect money and the cheques bounced. That is when the matter surfaced," the officer added.

After the fraud came to light, people ransacked Aggarwal's home and office here last week.

Aggarwal, who hails from Haryana's Rohtak town, came to the capital four years ago and started a firm in Uttam Nagar selling similar schemes but after complaints he packed his bags. Later, he started the same scheme in Nangloi.