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Odisha chit fund scam: Hearing on bail pleas of Pradeep Sethy, Deepak Parekh deferred


Odisha Sun Times Bureau
Bhubaneswar, Nov 14:

The Khordha district and sessions court today deferred hearing on the bail petitions of Pradeep Kumar Sethy, chairman and managing director (CMD) of Artha Tatwa (AT) Group and Mumbai stock broker Deepak Chandratan Parekh, both arrested by the CBI for their alleged complicity in the multi-crore chit fund scam in Odisha.

Pradip Sethy, AT Group chief
Pradip Sethy, AT Group chief

While the next date of hearing on Sethy’s bail petition has been fixed by the court for November 21, Parekh’s bail plea would be heard on November 20. Both are currently lodged in Jharpada jail here.

Parekh was arrested by the CBI on September 21 for his alleged links with the AT Group while Sethy was arrested by the Commissionerate Police on September 12, 2013 based on an FIR lodged against him in the Kharvela Nagar police station accusing him of duping an MCL official Raghumani Das of around Rs 6 lakh.

Sethy allegedly collected the money from Das after promising attractive returns through various ponzi schemes. The Commissionerate Police had found Sethy involved in a financial fraud amounting to at least Rs 200 crore, collected from gullible investors across the state.

According to CBI sources Parekh, who was associated with a stock trading company named Yash Trading and Finance Limited earlier, became the director of Artha Tatwa Capital Limited (ATCL) on May 5, 2009.

The ATCL was listed at the Bombay Stock Exchange. Parekh used to invest AT Group’s money in the stock market. Parekh had allegedly obtained license from SEBI and MCX for AT Group.