Al-Muqtadir Jewellery Group: Victim of False Propaganda or Scam Masterminds?
A controversy is brewing around the popular Al-Muqtadir Jewellery Group in Kerala with two vastly different versions of the events are emerging.
On one hand, the Income Tax Department in Kerala has launched raids on all showrooms of the company, amidst allegations of scams and financial irregularities. The company, known for its promise of zero labour charges, has been accused of cheating customers and depositors of hundreds of crores.
At the centre of the controversy is Muhammad Manzoor Abdul Salam, the chairman of the Al-Muqtadir Group, who has publicly denied the allegations.
However, many customers and trade associations remain unconvinced, claiming that the company collected large sums of money as deposits but failed to deliver the gold on time.
Some customers have even alleged that the company’s showrooms in Thiruvananthapuram and Karunagappally were shut down after they protested outside the stores.
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Social media platforms are filled with complaints and allegations against the company, with some suggesting that the chairman may have fled the country with investors’ money.
However, an insider has come forward with a different version of events, suggesting that the controversy is an attempt to tarnish the reputation of jewellers by a prominent jewellery group’s head in Kerala.
The insider claims that the Al-Muqtadir Group’s 0% making charge policy would make other jewellers’ businesses unsustainable and that there is a monopoly in the industry.
The insider also revealed that the company’s head, Muhammed Manzoor, has immense knowledge of the industry and has taken steps to expand the business as he had already opened 44 showrooms around the globe and established factories in Chhattisgarh, Ahmedabad, and Bombay.
According to the insider, the company started in 2018 and has seen rapid growth, with a 25-fold increase in business over the past year.
The insider also claimed that the raid was a yearly TDS (Tax Deducted at Source) visit and not a customs raid. The insider further stated that some customers who are creating a ruckus are those who are trying to tarnish the company’s reputation and that some are even coming forward claiming they were paid to do so.
The source said that recent media reports have sensationalised this routine year-end income tax audits, falsely claiming that Al Muqtadir Group was involved in a 380-crore tax evasion scandal.
“The tax assessments are typically completed seven days after the audit, and no conclusive evidence has been presented to support these allegations,” the insider added.
“It appears that competing traders have fueled these false stories, causing unnecessary panic among customers. Misleading social media posts have also been circulating, wrongly linking Al Muqtadir Group to unrelated incidents.” the source said.
Despite these alleged attempts to tarnish its reputation, Al Muqtadir Group maintains that it follows all government regulations and is committed to transparency. The company is now planning to take legal action against these false claims.
In response to the allegations, Manzoor has announced plans to take legal action against those spreading what he calls “false propaganda” against the company.
He has also highlighted the company’s growth and ambitious plans for the future, including projects worth Rs 10,000 crore in the pipeline for Kerala alone.
The All Kerala Gold and Silver Merchants Association (AKGSMA) had raised concerns about the company’s business practices, alleging that the company misled customers with advertisements promising zero labour charges and then failed to deliver on its commitments.
According to the insider, the Al-Muqtadir Jewellery Group’s 0% making charge policy is not only possible but also a game-changer in the industry.
The insider revealed that the company’s ability to offer zero making charges is due to its efficient business model and hierarchical structure within the Kerala jewellery market.
The source explained that in Kerala, the jewellery market is dominated by a few large players who control the supply chain and dictate prices. These players typically charge high making charges, which are then passed on to consumers.
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The source also stated that the Al-Muqtadir Jewellery Group has a clear policy of delivering gold to customers who have deposited money on time.
The insider emphasised that the company will not cheat people who have made deposits, but will instead ensure that they receive their gold as promised.
However, the insider also clarified that the company will not deliver gold to customers before the agreed-upon delivery date. This means that customers who have made deposits will have to wait for the specified period before receiving their gold.
Nonetheless, the Al-Muqtadir Jewellery Group has disrupted this hierarchy by streamlining its operations and reducing costs. By doing so, the company can offer high-quality jewellery at competitive prices, without charging making costs.
“The company’s disruptive business model is seen as a threat to the established hierarchy in the Kerala jewellery market,” the source added.
The insider claimed that this has threatened the dominance of the established players in the market, who are now trying to tarnish the reputation of the Al-Muqtadir Jewellery Group as they spread false propaganda and allegations to discredit the company and maintain their grip on the market.
