In a significant crackdown on organized crime, the Charaideo district police in Assam have successfully dismantled an inter-state racket specializing in the illegal trade of financed vehicles between Assam and Nagaland. The operation led to the arrest of six individuals and the recovery of eight vehicles valued at lakhs of rupees, marking a major victory against financial fraud in the region.
Intelligence Leads to Major Bust
The racket was uncovered following credible intelligence that exposed a well-organized criminal network engaged in the systematic purchase and sale of motor vehicles still under active finance agreements. This elaborate scheme involved acquiring vehicles from their original owners and then illegally selling them to buyers in Nagaland without obtaining proper clearance from financial institutions, thereby exploiting loopholes in the financial system.
Police Action and Legal Proceedings
Acting swiftly on the intelligence inputs, the Charaideo police registered a case at the Namtola police station under Sections 111(2)(b), 111(6), 316(2), and 318(3) of the Bharatiya Nyaya Sanhita (BNS) on January 12. Over the past 10 days, intensive operations were launched to crack down on the network, resulting in the arrests and vehicle recoveries that have disrupted the illegal activities.
Modus Operandi and Financial Exploitation
Charaideo ASP (headquarters) Jyoti Prasad Pegu, in a statement on Friday, detailed the calculated modus operandi of the gang. "The gang acquired vehicles under active finance from original owners, then sold them without clearance from financial institutions to buyers in Nagaland. This led to EMI defaults by borrowers, classifying the vehicles as non-performing assets by banks," Pegu explained. He further added that investigations revealed instances of forgery of vehicle documents, cheating of lawful owners, and unauthorized sales, highlighting the multifaceted nature of the fraud.
Impact on Financial Institutions and Owners
The illegal trade not only caused financial losses to banks and lending institutions but also left original owners in a precarious position, often facing legal and financial repercussions due to the defaults. The recovery of the vehicles is expected to help mitigate some of these damages, though the full extent of the racket's impact is still under investigation.
Ongoing Investigations and Future Steps
Police authorities have indicated that the investigation is ongoing, with efforts to trace any additional accomplices and recover more vehicles involved in the racket. This bust serves as a warning to similar criminal networks operating in the region, emphasizing the commitment of Assam police to uphold law and order and protect citizens from financial crimes.
