Kozhikode gold fraud: protests rise as arrest remains overdue
Jewellery traders in Kozhikode staged a half-day shutdown over delays in arresting the suspect in a ₹1.5 crore gold fraud case. A four-member SIT-like squad has been formed, but investigators cite transfers and slow progress, with the suspect still at large 26 days after the incident.
Key takeaways
- Traders in Kozhikode staged a half-day protest on August 22, 2026, citing lack of progress in arresting the accused in a ₹1.50 crore gold fraud case.
- The incident involved about 948 grams of gold stolen from over 10 shops on July 27, with FIR registered and statements from 11 traders taken.
- A four-member investigation team was formed, but internal transfers disrupted the pace of the probe, and anticipatory bail was reportedly rejected in a prior attempt.
- Traders are calling for the case to be handed to a senior officer or a dedicated SIT to expedite accountability and justice.
What Happened
Traders in Kozhikode city’s Kammath Lane held a half-day shutdown on August 22, 2026, to protest the police’s failure to arrest the person accused in a gold fraud case involving jewellery worth ₹1.50 crore. The incident traces back to July 27, when a shopkeeper named Safarnas allegedly took 948 grams of gold from more than 10 shops by using a pretext of showing pieces to customers and then disappeared.
After reports of the disappearance, a complaint was lodged at the Town police station and an FIR was registered. Statements were taken from 11 traders. As of August 22, traders said there was no breakthrough, with the accused still at large and attempts at anticipatory bail reportedly rejected in the first round. A four-member special investigation team was created as part of the probe, though transfers within that squad disrupted progress.
The protesters argued that the investigation could fail if evidence is destroyed and urged that the case be handled by a senior officer or a dedicated SIT to ensure accountability. Local representatives of the Kammath Lane Gold and Silver Merchants’ Association joined the protest, while the district committee voiced support for stronger action against the lack of progress.
Why It Matters
According to traders, the ongoing delay in locating the accused and advancing the probe could erode confidence in policing and the investigation. The existence of a four-member dedicated squad indicates a formal effort to pursue the case, but reported transfers within that unit have been cited as a factor slowing progress. The episode highlights concerns about traceability and timely accountability in a locally significant gold trade network.
Background
The fraud occurred in a market area known for jewelry trading, where wholesalers and retailers commonly source pieces among themselves when designs requested by customers are unavailable. The accused allegedly exploited this practice to obtain gold from multiple shops before disappearing.
Key Facts
- Place: Kozhikode city, Kammath Lane area
- Case date: July 27
- Suspect: identified as Safarnas (shopkeeper)
- Value of stolen jewellery: ₹1.50 crore
- Gold amount involved: 948 grams
- Number of shops affected/involved: more than 10
- FIR lodged and statements from 11 traders recorded
- Arrest status: suspect at large; no breakthrough as of August 22, 2026
- Legal action: anticipatory bail reportedly rejected in the first attempt
- Investigation: four-member special squad formed; pace affected by officer transfers
- Public response: half-day shutdown and protests by Kammath Lane Gold and Silver Merchants’ Association
What Happens Next
Police say the investigation pace will improve and that the transfers within the special squad have been addressed, with ongoing efforts to trace and arrest the accused. Traders demand handover of the probe to a senior officer or a dedicated SIT to accelerate progress and secure justice for those defrauded.
Sources reviewed
Project Chintan independently synthesized and analyzed information cross-checked across the sources listed above.
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