Home ODISHA LATEST Odisha chit fund scam: 10k small investors of Flourish India identified

Odisha chit fund scam: 10k small investors of Flourish India identified


Cuttack: Commission headed by Justice Madan Mohan Das probing the multi-crore chit fund scam in Odisha, identified total 10,037 small investors in fourth phase in Flourish Development of India Pvt Ltd.

After verifying the fourth phase affidavits, the Commission on July 13 had issued notice to Flourish India’s Managing Director Ballav Prasad Nayak and former Managing Director Prasanna Kumar Das lodged in Sambalpur jail to clarify their stand before it.

The notice was handed over to these two MDs by the jail superintendent on July 27. No official had appeared before the Commission during hearing on Wednesday.

The report will be submitted to the government recommending refund of the funds of these 10,037 small investors, who had deposited in Flourish India.

Notably, Flourish Development of India allegedly duped investors of at least Rs 60 crore through its 130 branches across Odisha by promising high returns.

Earlier, the Commission had identified 1,660 small investors in Astha International.

Meanwhile, a special CBI court has sentenced Sai Prakash Properties Development Ltd CMD Pushpendra Singh Baghel to five years in prison for duping investors of around Rs 239 crore.

Hearing the case on Wednesday, the CBI court slapped him with fine amount of Rs 250 crore to repay the depositors failing which the movable and immovable properties of the company will be attached and auctioned.

Two weeks ago, Baghel had pleaded guilty before the special CBI court.

Earlier, Baghel was brought on a transit remand from Madhya Pradesh to Bhubaneswar in connection with the chit fund scam in August.