Amendments to MPID Act Planned for Faster Action in Fraud Cases: CM Devendra Fadnavis

Mumbai, March 2026 : Chief Minister Devendra Fadnavis on Tuesday informed the Maharashtra Legislative Assembly that key amendments will be made to the Maharashtra Protection of Interest of Depositors (MPID) Act to ensure faster action in financial fraud cases and enable quicker recovery of investors’ money.

Responding to a question raised by member Hemant Ogle, the Chief Minister said that the existing process under the MPID Act is time-consuming, particularly in the sale of seized properties. To address these delays, the government is planning to introduce changes that will streamline the process and make it more time-bound.

Under the proposed amendments, it will be mandatory to dispose of MPID cases within six months. Additionally, adjournments will be restricted, with no more than two extensions allowed under any circumstances. Fadnavis noted that in many cases, the delay in valuation of seized assets has been a major hurdle in initiating the sale process. To overcome this, the government is also considering engaging private consultants for faster and more efficient valuation.

He emphasized that these measures would help expedite the auction of confiscated properties and ensure that funds locked in fraudulent schemes are returned to affected depositors at the earliest.

Minister of State Yogesh Kadam informed the House that cases of financial fraud have been registered against companies such as Sis Pay, Grow More, and Grow Investor in Ahilyanagar district, and investigations are currently underway. He added that some of the accused have fled abroad, and the process of issuing Red Corner Notices against them has been initiated as per legal procedures.

Kadam said that the Maharashtra Police are actively working to bring back such absconding accused. Action is being taken against fraudulent financial institutions under the MPID Act, and several steps are being implemented at the government level to speed up the auction of seized assets.

The proposed amendments are expected to bring much-needed momentum to cases that have remained pending for years and strengthen the mechanism for protecting the interests of small investors.