3 min readBengaluruJun 8, 2026 12:07 PM IST The Karnataka Police’s Criminal Investigation Department (CID) said Sunday its investigation into the alleged multi-crore fraud committed by Belagavi-based Shivam Associates has disclosed that the firm collected about Rs 2,400 crore from more than 40,000 investors. In May, the Belagavi police arrested Shivanand Neelannavar, the promoter of Shivam Associates, in connection with the Rs 4,500-crore investment scam, under which the firm offered annual interest rates of 36 to 60 per cent to investors. Shivam Associates was closed after a complaint was filed at Malmaruti Police Station in Belagavi under the provisions of the Banning of Unregulated Deposit Schemes (BUDS) Act and the Karnataka Protection of Interest of Depositors in Financial Establishments (KPID) Act. Later, the case was handed over to CID. Bheemashankar S Guled, Deputy Inspector-General of Police, CID, said they were forced to hold a press conference as people were still investing money even though the accounts of Shivam Associates had been frozen. “Even after the fraud has come to light, people have invested about Rs …