Reported by Santosh Jagdev
Bhubaneswar, Jan 9:
The Economic Offences Wing (EOW) of Odisha police today arrested the director of a company, for running chit fund company in the garb of of a real estate firm.
The arrested director was identified as Braja Sundar Mishra of Kalarahanga under Mancheswar police limits in Khordha district. He will be forwarded to a designated court in Cuttack today.
DIG CB Sanjay Kumar said Mishra has been collecting huge amounts from people in the name of two companies – M/s Land India Real Estate Private Limited and M/S Land India Assets Limited – after promising them high returns on their deposits.
In the name of real estate business, Mishra and other directors have collected about Rs 8 crores from depositors in Bhubaneswar, Polasara and other places of Ganjam district between 2011 to 2013 with the promise of providing high rate of interest on the deposited amount, the DIG said.
The EOW has registered a case in this connection on January 5, 2015, he added.
Investigation so far has revealed revealed that two companies run from its office at N3/430 in Nayapalli here and represented by its directors Mishra and others had floated various schemes such as double return scheme, monthly income scheme, recurring deposit scheme with assurance of high rate of interest and induced the public to make deposits through leaflets, colorful brochures, informed the DIG.
The accused paid interest to old depositors initially out of the deposits of new depositors but closed the office in July 2013 without paying the interest and the maturity amount, he added.
“Investigation is on. Efforts are on to nab more 3-4 directors involved in the crime,” the DIG said.
The accused held was booked under sections 420,467,468,471,406,120(B) of IPC and section 4,5 and 6 of Prize Chit and Money Circulation scheme (banning) Act 1978 and section 6 of the Odisha Protection of Interest of Depositors Act