[Resolved]  cityreal.com — CHEQUE DISHONOURED

In many posts that I have seen, the detractors of this company say that it is running a PONZI Scheme.

The meaning of Ponzi Scheme taken from wikipedia:

(A Ponzi scheme is a fraudulent investment operation that pays returns to separate investors from their own money or money paid by subsequent investors, rather than from any actual profit earned. The Ponzi scheme usually offers returns that other investments cannot guarantee in order to entice new investors, in the form of short-term returns that are either abnormally high or unusually consistent. The perpetuation of the returns that a Ponzi scheme advertises and pays requires an ever-increasing flow of money from investors in order to keep the scheme going.)

This company doesn't do that. The company takes money from investors and invests them in limousines in the investors name and then hires them out to Corporates, Navy and Army, 5 Star Hotels on an yearly basis. From the payments that they get from these hirings they pay us.

Can this really be called a Ponzi Scheme?

Well, the latest update is that the date for depositing cheques has been postponed (frankly speaking I am not surprised) and now the company says to hold on to the cheques till 15th Sept 09 and deposit only after that.

City realcom the mumbai based company which offering various investment plans, and giving handsome returns over it
from last one month investors are not getting money due to some problems in company
all members are requested to post there information about the company to share with the other members and be in touch with each others
in order to have a contact and information with each other i had created a social network site
http://cityinvestor.ning.com all of you requested to join and post your information on the site

If this issue of FEMA and city Limousine Group is going on why cant it be told to the customer and assure them that the money is safe and only awaiting clearance from the court, why lies are being told of Central Govt. Audit and restructuring going on, and getting the public more confused and panicky.
Now we have to wait upto 15th sept, but hope we get sms about the proceedings as it happens and not that we have to keep calling up the office

Hi all.. Just called up CitiLimozine an hour back. They have asked me to re-present the cheque post 16th. For stop payment cheques, they have asked me to come collect the new cheque by 15th. I don't think there i any need to panic as i'm pretty confident that life will be normal soon. They have been very honest in telling what is happening & not once have they lied to us. I have been with them for more than 3 years & I don't regret one bit being with Citi & I'm so positive that its gonna resume to normalcy very soon.. May be 16th Sept.. So just chill coz the worst has happened.

Hi dear,

Pl. tell me the why city will increse the cheque deposit time after 15 sept. 2009 inplace of 05 sept. 2009

Citi lum most pickup the phone and answer instead keep idealing which will lead to great suspence etc. Please do answer. I thank each one of our investers who write their comentsand happening all over india who has invested in this company.

Well the latest update from delhi is that the Supreme Court has allowed City Limo to continue running the company but accounts are still frozen coz of FEMA. The decision on the same shall be decided on the 9th of this month. All investors have been called on the 9th. Let me get to the bottom line - atleast your principal amount is safe. The company has been really transparent till now. I dont think there is any mal-intent whatsoever. I feel thing s will be sorted out soon.

mr. shashank. good news . hope to god it happens as you say. don't mind delay. but loss of total investment recently made will put me on the street.

Hi,
My cheques were dishonoured with the message" INSUFFICEINT FUNDS" and not with the message account activities are frozen or no account activities are allowed. This is a cause of great worry as this means that their accounts are not frozen and are still operative but doesnt have cash which is equivalent to beleiving that this company has runaway with the money or money has been transferred elsewhere. While I pray that above mentioned things should not come true but i think now we need to be proactive and plan the action in the worst scenario. Yesterday a message has come that dont present the ch till 15 sep .

I just visited city's nariman point office with my friend.so many panic people gather there .nice to watch that city's staff allowing each to interact & try to explain wait till 9th call after 15th deposite the cheque.they accepated it is the matter of FEMA & pending in mumbai high court.so pray the god hope matter will solve soon as per city's confident.be positive pls do not spread negative roumers
even there staff told if court matter solve director is ready to payback investor principle who r investor
less than one year.so keep in touch

same got a sms to wait till 15th

I CALED IN THEIR OFFICE TODAY THEY SAID--WAIT TIL 15th SEP N THEN V WILL
INFORM YOU WEN TO REDEPOSIT UR CHQS.HOPE EVRYTHING WIL GET FINE BY 15th.
THANX TO shree om sai nath car on rent ltd ATLEAST IM GETING MY PAYMENTS REGULARLY
FROM THERE.

I am from bangalore last month my cheques 7775 bounced when i contact to office they reply wait till sept 5th because there some problem in bombay.again today i received sms from bangalore branch wait
till 15 sept so any body can reply detaily. because we depend on more over poor people invest
so I ask real com officials when our cheques get cleared explain us what was the real problem.

The latest update is that I spoke to their Mumbai office at 11.55 am on 8th Sept 09. Now the date has been postponed to 25th Sept. So the company is simply buying time. Nothing else.

even i hve jst caled their office and they told me not to deposit the cheque by 25th...i was told tht on 17th we shall again receive a new sms saying tht we hve to cal them on 25th and then deposit the cheque...

I am concerned now, do cases filed by FEMA drag on? If this happens our money is stuck forever. Can anyone enlighten me on this?

I don't know what should i do? after hearing a date of 25 sept

what to do I donot know in this situation when our hard money is likely to[protected] and further when the cheque is to be deposited as the date is continous postpond from[protected].

I invested in real com from the delhi branch, two months ago. Regarding deposition or not the cheque i still not received any call or sms from the company. What to do i canot undetstand for last month