KULIM: Attracted by the lucrative returns promised by the organiser of an investment scheme to breed earthworms here, about 3,000 investors lost more than RM25 million when the organiser absconded.
In fact, the office of the organiser, Kulim Worms Agrotec (KWA)(M) Sdn Bhd at Kilang Lama, here had been sealed by the building owner early last month for not paying the rent which came to nearly RM10,000.
After realising that they had been cheated, more than 200 victims of the scheme lodged police reports at the police station here since the beginning of this month.
At a media conference held in front of the KWA office yesterday afternoon, the victims from Penang, Kedah and northern Perak claimed that they had invested between RM5,000 and RM3,000 since June 2008.
KWA stated in its pamphlets that it was carrying out earthworm farming to produce the vermicompost organic fertilisers in collaboration with Konsortium Koperasi Pengguna Malaysia Berhad (KKPMB), and had opened seven branches in Sungai Petani, Kuala Lumpur, Penang, Alor Setar, Butterworth and Tunjang in Kubang Pasu with Kulim as the main branch to facilitate members of the public to invest in the scheme.
Kulim OCPD Supt Ghuzlan Salleh, when contacted, confirmed having received reports from the investors concerned and that police were investigating the case.
Meanwhile, two pensioners claimed that they had invested RM150,000 out of their savings and gratuity since September last year.
Jabatan Keretapi Tanah Melayu Berhad (KTMB) retiree, Shahibul Kiraya Haliman Shah, 56, said he had invested RM35,000 while former teacher, Omar Ismail, invested RM115,000 after being promised monthly returns of 3.3 per cent.
“I invested RM15,000 to breed earthworms after undergoing a course organised by KWA and so far I have received RM20,000 which was the returns for September and October last year,” said Omar.
A businessman, K Jayakumar, 42, from Taman Kulim Square, Lunas near here, together with 10 of his family members lost almost RM500,000 for participating in the KWA investment scheme since June 6, last year. — Bernama
Jayakumar said they were paid only twice on their investments and several payment cheques thereafter were returned by the bank.
“We appeal to the authority to take action to return the investments made because many (of the victims) had borrowed from banks and relatives to invest in the scheme,” he said.
Meanwhile, one of the directors of a company carrying out the earthworm farming on behalf of KWA, Green Millennium Agrotec (M) Sdn Bhd (GMA), Mohd Faisal Mohd Noor, 27, who was present at the media conference claimed that KWA had used GMA letterheads to collect the investments from farmers and investors in the scheme which placed his company in a dilemma. — Bernama