LUCC scam worth hundreds of crores reaches Amit Shah’s office, Dhami recommends CBI probe

The much-talked-about Loni Urban Multi State Credit and Thrift Cooperative Society (LUCC) scam, worth hundreds of crores, reached the office of Union Minister Amit Shah on Thursday, following which he assured that no accused would go scot-free. Shah made the statement after a delegation of Lok Sabha MPs from Uttarakhand met him to request central assistance in securing justice for the victims defrauded by the chit fund company.

A day after Chief Minister Pushkar Singh Dhami handed over the investigation into the LUCC society scam to the CBI, Union Home Minister Amit Shah said no accused would be spared as they had duped people of their hard-earned money. In a meeting with Uttarakhand Lok Sabha MPs, Shah said, “The strongest possible action would be taken in the LUCC scam. Culprits will be punished for their deeds. This is not merely an economic offence; it has also eroded the public’s trust. Serious efforts will be made at all levels to bring the accused to justice.” The Uttarakhand MPs’ delegation that called on Shah to apprise him of the LUCC probe in the state included former chief minister Trivendra Singh Rawat, Mala Rajyalakshmi Shah, Anil Baluni, and Nainital MP Ajay Bhatt.

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“The Union Home Minister assured the delegation that all necessary actions will be taken to apprehend all the accused in the LUCC society scam. It is a massive fraud involving hundreds of crores cheated from the people of Uttarakhand and other parts of the country. Investors had put in their hard-earned money on the assurance of receiving double returns in a short period,” said Trivendra Singh Rawat.

It is significant that the Loni Urban Multi-State Credit and Thrift Cooperative Society (LUCC) scam is considered the largest of its kind in the state to date, with an estimated value of around ₹100 crore. The LUCC Society amassed crores of rupees from people across Uttarakhand—primarily in the hill regions—by promising returns of more than double the amount deposited. A large number of women agents were recruited to collect premium amounts across the state.

However, investors never received the promised returns over the past decade. Earlier this year, the promoters of LUCC suddenly went missing, leaving the women agents stranded. Now, aggrieved investors are targeting these agents, who in turn have been holding repeated protests and demonstrations across the state, demanding the arrest of the promoters and recovery of the defrauded funds.

Owing to rising public pressure, the Uttarakhand government initially ordered a CB-CID probe, which led to six arrests. However, the state police remain clueless about the whereabouts of the main accused in the case. As pressure continued to mount, the Chief Minister on Wednesday recommended a CBI investigation into the scam.

It is alleged that the LUCC Society defrauded investors in nearly all cities of Uttarakhand as well as in several other states. While 13 cases have been registered against the society in Uttarakhand alone, an additional 70 cases have been filed in other states. According to informal estimates, the LUCC scam may be worth more than Rs 500 crore, as the organisation had a wide network across multiple states in the country.