Uttarakhand: In a new Rs 4.44 crore check bounce case in Mumbai, the accused in the LUCC fraud is called in
Uttarakhand: Shabab Hussain, the main player in the huge Loni Urban Multi Credit and Thrift Cooperative Society (LUCC) fraud that left thousands of depositors in Uttarakhand debilitated, is under escalating legal pressure.
A Mumbai court has summoned Hussain on a separate, high-value financial dispute involving an aviation training business. Hussain is already under investigation for the multi-crore cooperative society scam that began when he aggressively courted investors in Uttarakhand beginning in 2019.
In relation to a startling Rs 4.44 crore cheque bounce case, the Girgaon court has issued a new summons for Hussain as well as directors of Myfledge Private Limited, Bishwajit Badal Ghosh and Piyalee Shyamlendu Chatterjee.
Everyone must show up on February 4, 2026.
The ongoing national investigation into the LUCC scam—which saw deposits exceeding an estimated Rs 1,500 crore frozen following the scheme’s abrupt collapse—gains a significant new dimension with this new legal challenge that links Hussain to Myfledge, an aviation training institute marketed as a pan-India education network.
Actor Aayush Shah filed criminal accusations against Myfledge, claiming systematic cheating and forgery of Rs 4,44,48,000, which sparked the new proceedings.
Most importantly, the complainants contend that the institution purposefully deceived investors and students about its qualifications and assets across its purported network of centers, which included activities in Dehradun.
Concerns about the firm’s validity have grown in Uttarakhand and elsewhere as a result of students reporting that promised training infrastructure and certificates have not been delivered.
Actor Aayush Shah told TNIE, “What we trusted as an education venture turned out to be a calculated operation to deceive.”
“It’s shocking how much is misrepresented to students and investors alike.”
The Girgaon court has ordered the Oshiwara Police Station to provide information on an existing First Information Report (FIR), which is a major procedural step.
In addition to the CBI investigation into the main LUCC scam that the High Court ordered, this FIR already names Ghosh, Chatterjee, Hussain, and their families, indicating a deeper investigation into the aviation company’s activities.
The complainants’ attorney, K.P. Dubey, affirmed the seriousness of the issue. Investigations into the accused’s broader financial activities are becoming more intense, Dubey said, adding, “This is a clear case of financial fraud executed through deception and forgery.”
When early accusations connected advertising operations to Bollywood celebrities, the LUCC issue initially attracted national attention. The impact for victims in the hill state is now made more difficult by the legal focus shifting dramatically to Hussain’s alleged participation in this little but significant financial dispute.