Supreme Court paves way for reimbursement of 14 lakh investors in GFIL scam

In a much-needed relief for the investors who lost their money in a scam orchestrated by Chandigarh-based Golden Forest India Ltd, the Supreme Court has cleared the way for reimbursements for almost fourteen lakh investors affected by the scam.

The court has asked a committee headed by a former Punjab and Haryana high court judge R N Agrawal to complete the process within three-months, Times of India reported. The committee, which was constituted fourteen years ago to protect investor interest, raised the money by liquidating various assets of the company.

Chandigarh-based GFIL came out with a scheme in 1987 to develop land and social forestry. It promised hefty returns to investors who were mostly middle-class families as the minimum amount was as low as Rs 1,000.


However, after collecting a sum of Rs 1,000 crore over a period of ten years, the company went bust depriving many of their hard earned money.

The protracted legal battle has finally resulted the apex court ordering the committee, which has collected Rs 700 crore by selling assets of the company, to reimburse the investors.