Scooters, laptops, and home appliances at half price – this was the offer floated by 26-year-old Ananthu Krishna from Kerala - a self-styled social activist. Thousands signed up for the scheme and made payments, but with last week’s arrest of Krishna, the “national coordinator” of the NGO confederation, it has unravelled as a multi-crore fraud. A TOI report quoting a police official said he used money from new investors to fulfil promises to earlier ones—until the system collapsed. Ananthu was arrested on January 30, and authorities froze bank accounts linked to the fraud. A special investigation team (SIT) is probing the case, with nearly 40,000 victims and over 3,000 official complaints filed. The estimated fraud amount is ₹500 crore, with ₹37 crore already confirmed in 34 FIRs.
Investigators revealed that Ananthu led a lavish lifestyle using the scammed money. He lived in luxury apartments in Kochi’s Marine Drive, spent heavily on high-end living, and bought properties in multiple locations. To build credibility, he maintained a strong social media presence, appeared in photos with celebrities and politicians, and claimed major companies were backing the initiative as part of their CSR efforts.
A key factor in the scam’s success was the ‘Women on Wheels’ project, where early investors received scooters, boosting trust and drawing more participants. The scheme later expanded to household appliances at steep discounts. However, like all Ponzi schemes, the funds eventually dried up, leaving thousands stranded.
The scam’s reach extended beyond normal people, involving NGOs and influential figures who unknowingly acted as intermediaries. The scandal has also caused political turmoil, with allegations surfacing against politicians from multiple parties. The police continue to investigate, aiming to uncover the full extent of the fraud.