Home CRIME First conviction in multi-crore chit fund scam in Odisha

First conviction in multi-crore chit fund scam in Odisha


Odisha Sun Times Bureau
Bhubaneswar, Dec 23:

In the first-ever conviction in the multi-crore chit fund scam in Odisha, a special CBI court here yesterday convicted a former top official of a Ponzi firm which has allegedly duped gullible investors in the state.

man in jail

The court sentenced the former managing director Gouri Shankar Parida of Eshore Developers Private Limited to two years of rigorous imprisonment and imposed a fine of Rs 72,000 on him.

As per CBI sources, Gouri Shankar Parida had floated the company in 2011 and opened its office at Sahadevkhunta in Baleswar town. The company collected deposits from people assuring them of high returns. However, the company shut its shop in 2013 following which the investors filed a case with Baliapal police station in the district.

Following this, the CBI registered a case in June last year and began its investigation. A chargesheet was filed on September 30 this year. Within less than three months, the special CBI court has delivered its verdict.

“This is the first trial to be completed in the chit fund cases in which an accused has been convicted. The CBI had registered the case on June 5, 2014. The CBI had earlier taken over the investigation of FIR No. 102 dated June 3, 2013, registered at the Baliapal police station in Baleswar district,” said a CBI release.

On September 30 this year, a chargesheet was filed against Parida in the court of special chief judicial magistrate (CBI) under Section 120-B/409/420 of the IPC and Sections 4, 5 and 6 of the Prize Chits and Money Circulation Schemes (Banning) Act, 1978.