Vizianagaram: Car rental racket busted; 2 held

Vizianagaram: Vizianagaram police busted a car rental racket and arrested two members of a three men gang.

The police have recovered 29 cars worth over Rs two crore from them. Vizianagaram SP B Rajakumari along with Palakonda DSP M Sravani revealed the details of the scam. The arrested persons have been identified as M Chandramouli, a native of Parvathipuram in Vizianagaram district and L Siva Ramakrishna, who hails from Seethampeta in Srikakulam district. The cops are searching for the third absconding accused S Ravi, a native of Bobbili. The gang used to identify the car owners in need of money and offer them monthly income of minimum Rs 25,000 as rent on their car. Worried over the EMIs and vehicle maintenance, some of them fell for the offer.

Rajakumari said that one P Rajesh of Srikakulam district filed an FIR on May 29, stating that M Chandramouli had promised him a monthly income of Rs 29,000 towards rent for his car. Chandramouli and L Siva Ramakrishna took away his car after entering into an agreement. They neither gave him money nor returned his car.

Later, Rajesh came to know that the duo mortgaged the car. Based on Rajesh's complaint, the Parvathipuram police investigated the case and nabbed Chandramouli.

The investigation revealed that Chandramouli along with two others used to hire cars in Vizianagaram, Visakhapatnam and Srikakulam districts by paying little advance and never returned them. He used to extend the hire period. Upon interrogation, Chandramouli said they had so far mortgaged 29 rented cars to various persons by taking loans of Rs 2 lakh to Rs 2.5 lakh. The owners of the cars from Parvathipuram, Battili, Seethampeta, Cheedikada and Vizag city claimed 23 cars which were seized from the gang.

With the initiative and active participation of Palakonda DSP M Sravani, Battili and Sitampeta police personnel investigated the case.