More than a hundred clients of Kunnathukalathil Jewellery Group, one of the oldest in the district, have approached the district police chief alleging fraud in the group, even as group moved insolvency petition at the Kottayam sub-court.
Upon finding the group’s offices in Kottayam, Changanassery and Chengannur closed for the past three days, the clients had approached the police earlier, individually.
It was only on Thursday that the group’s lawyer handed over a copy of the insolvency petition to the police taking the clients by surprise.
Meanwhile the group, partnered by K.V. Viswanathan and wife Remani Viswanthan, filed an insolvency petition at the Kottayam sub-court. The group which also owns the Kunnathukalathil Bankers, Kunnathukalathil Investments, Kunnathukalathil Finance and Kunnathukalathil Chit Fund Pvt. Ltd., has 5,100 clients, according to the insolvency petition.
It says that the group has a total liability of more than ₹136 crore and assets worth ₹65.55 crore, including movable and immovable properties.
The petition blames the implementation of demonetisation and GST as reasons for the decline in their business. The petition was filed seeking insolvency of only Viswanathan and Remani Viswanathan.