Alleged gold fraud: suspect at large arrested from Malappuram
A local trader was arrested in Malappuram for allegedly defrauding several jewellers of gold ornaments worth over 1.39 crore rupees. The suspect had collected the gold on a commission basis but failed to return the items or the proceeds.
Why it matters
This case highlights risks in informal commission-based business models and the importance of due diligence in high-value trade.
The Town police on Friday arrested a local trader accused of absconding after collecting gold ornaments worth ₹1.39 crore from several jewellery establishments in the city for sale on a commission basis.
The accused, identified as Safarnas of Parambil Bazaar, was arrested from Malappuram. He allegedly collected over 118 sovereigns of gold ornaments from multiple jewellers on July 27.
Police sources said Safarnas had been engaged in selling gold ornaments on behalf of various jewellery shops for a commission. He allegedly failed to return either the jewellery or the sale proceeds after collecting the consignments. His mobile phone was subsequently found switched off, they said.
The alleged cheating came to light after the jewellers, unable to contact him, approached the police. A case was registered on a complaint by K.M. Rajeevan, proprietor of one of the outlets.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in