CRB

1. Chain Roop Bhansali
CRB SCAM

3. About Bhansali
• Bhansali had his roots in Sujangarh, Rajasthan and
later moved to Kolkata and was raised there.
• He belonged to a middle class jute trader family.
• Degrees : Bachelors in Commerce, Chartered
Accountancy, ACS, Ph.D., MIIA (US) and a Diploma
in Journalism.
• Kolkata-New Delhi
• CRB Consultancy [New Delhi – 1985]------ CRB
Capital Markets (CRB Caps) and is was converted
into a public limited company [1992].

4. “Every single drop of my blood is for
the depositors”.
-Chain Roop Bhansali
[in 1997]

5.  The company offered various schemes like merchant banking , leasing and hire
purchase , bill discounting and corporate funds management , fixed deposit and
resources mobilization , mutual funds and asset management , international
finance and forex operations.
 CRB caps was also very active in stock-broking having a card both on the BSE
and the NSE.
 A+ CARE ratings and upfront cash incentives of 7-10% attracted investors in
hordes to Bhansali’s schemes.

6.  CRB Corporation Ltd raised Rs.84 crores through three public issues
between May 1993 and December 1995.
 CRB share custodial services raised another Rs.100 crores in January
1995.
 In August 1994 , Bhansali launched CRB mutual funds (CRBMF) which
raised Rs.230 crores from the market through Arihant Mangal Growth
Scheme.
 The company raised over Rs. 176 crore from the public by January 1995.
 He ruled like a financial wizard 1992 to 1996 collecting money from the public
through fixed deposits, bonds and debentures. The money was transferred to
companies that never existed.
 CRB Caps' net worth went up from Rs 2 crore in 1992 to Rs 430 crore in
1996

7.  Suspicions arose when CRB cap’s networth grew from Rs. 2 crores in 1992
to Rs. 430 crores in 1996
 It was in mid 1996 that reports regarding frauds being committed by the
RBI group began appearing in the media.
 An FIR was filed against CRB as per section 120B read with section 420 of
the Indian Penal Code and section 13(2) read with section 13(1)D of the
corruption Act.

9. Ponzi Scheme
• A Ponzi scheme is an investment fraud that
pays existing investors with funds collected
from new investors.
• Ponzi scheme organizers often promise to
invest your money and generate high returns
with little or no risk.

10. List of Ponzi Schemes