In Andhra Pradesh, the AgriGold victims’ association has urged the state government to expedite the establishment of a special court and seize the company's benami assets. They also demand that compensation be delivered within six months.

Key Takeaways

  • The special court must be operational by the end of July.
  • All benami properties of AgriGold’s management should be attached and auctioned transparently.
  • The promised six‑month compensation timeline must be honoured.

At a press conference in Vijayawada, the AgriGold Customers and Agents Welfare Association pressed the Andhra Pradesh government for decisive steps. Honorary President and CPI national executive member Muppalla Nageswara Rao highlighted the recent decision to form a cabinet sub‑committee and a special court, insisting that the court be functional before the end of July.

Background of the Controversy

AgriGold was marketed as an agricultural investment scheme that attracted thousands of small savers and farmers from 2010 onward. In 2023, irregularities in the company’s accounts surfaced, leaving many investors with substantial losses. Subsequent state‑level investigations yielded limited progress, and the compensation process remained mired in delays.

Government Initiative and Association’s Response

Chief Minister N. Chandrababu Naidu, during a hunger strike in March, pledged to resolve the AgriGold issue swiftly. The association welcomed the formation of the cabinet sub‑committee as a positive step but warned that concrete action is essential. They called for a dedicated CID investigative team to trace and attach all alleged benami properties linked to the firm’s top management.

Asset Recovery and Compensation Blueprint

The group urged AgriGold’s management to surrender every benami asset, withdraw pending litigation, and cooperate fully with authorities. They suggested that seized large land parcels be subdivided into smaller plots or converted into residential layouts to maximize returns. Purchasers of AgriGold plots before 2015 were instructed to submit sale deeds, Aadhaar details, and contact information to district offices by July 25, while holders of CR slips, bonds, and receipts must furnish documents to the CID within 30 days.

Next Steps and Potential Impact

The sub‑committee has been tasked with obtaining the company’s customer database, establishing mandal‑level committees, and presenting detailed recommendations to accelerate claim verification. Effective implementation could restore faith among investors and set a precedent for handling future financial frauds, signaling a robust regulatory response.