CBI arrests two masterminds in Uttarakhand LUCC chit fund scam
DEHRADUN, June 2, 2026— In a significant development in the ongoing Uttarakhand LUCC chit fund case, the Central Bureau of Investigation has arrested two key masterminds in Mumbai, Maharashtra. According to the official press detail these arrests follow intensive investigative efforts involving the thorough analysis of voluminous financial records, bank transactions, oral evidence, and extensive field operations across multiple states.
The case originates from an order by the High Court of Uttarakhand at Nainital, which led the CBI Anti Corruption Branch in Dehradun to register a case in late 2025 against office bearers of M/s Loni Urban Multi State Credit and Thrift Co-operative Society and others, effectively taking over 18 separate FIRs previously handled by the Uttarakhand State Police.
The investigation targets allegations of illegal public deposit collection, cheating, criminal breach of trust, criminal conspiracy, and the operation of unregulated deposit schemes across multiple districts of Uttarakhand. The scale of the fraud is unprecedented in the state, with approximately one lakh investors lured into investing in the unregulated schemes run by the cooperative society.
The total investment and deposits made by these victims are estimated to be around 800 crore rupees.
Authorities revealed that the two newly arrested individuals played an active and significant role in collecting, handling, diverting, and misappropriating these funds. Following their arrest, the CBI secured a transit remand to produce both accused individuals before the Special BUDS Act Court in Dehradun.
These recent arrests follow the apprehension of five other accused persons earlier in May 2026, including three senior cooperative promoters who are currently in judicial custody at Sudhowala Jail in Dehradun. Beyond making arrests, the CBI has successfully identified several immovable properties acquired by the accused using the proceeds of the crime.
Details of these assets have been shared with the Secretary of Finance for the Government of Uttarakhand under the Banning of Unregulated Deposits Schemes Act, with an official request to freeze the properties and distribute the assets to the affected victims as early as possible while the investigation continues.