The high court on Thursday gave its green signal to the city police to investigate the alleged fraud committed by Innovative Film City chairman Saravana Prasad.
On Thursday, it dismissed a plea to quash the FIR registered against Prasad based on a complaint filed by Innovative Film City Investors’ Association that he had committed fraud.
According to the complaint, Prasad had invited investments from people for the commercial block at the studio.
He offered to rent the block for Rs3,600 per sqft.
Prasad assured them that their funds would be used for the construction of an amusement park, malls and other business centres from which they would get high rental returns.
Prasad also assured them that he would secure FDI for his venture. Expecting good business, about 150 investors paid the money.
Investors got their payment for the first two months.
The problem started from the third month as Prasad started avoiding calls and even dodged queries from investors.
