Home ODISHA LATEST Odisha chit fund scam: Micro Finance CMD gets 3 yrs RI

Odisha chit fund scam: Micro Finance CMD gets 3 yrs RI


Bhubaneswar: The Special Central Bureau of Investigation (CBI) in the Odisha capital today sentenced former CMD of chit fund firm Micro Finance Ltd (MFL) Durga Prasad Mishra to three years rigorous imprisonment (RI).

Further, the court ordered Mishra to deposit Rs 215 crore with it for payment of compensation to duped investors failing which it would attach his properties.

Earlier, on Friday last, the court had convicted Mishra who had pleaded guilty before it in writing to the charges framed against him by the CBI.

Mishra was arrested by the CBI in December 2014. MFL has allegedly duped depositors of over Rs 500 crore across the country. The company had over 420 branches across the country. Over 13 cases of fraud were registered against the company.

He is currently lodged in the Jharpada Special Jail here.

Earlier on 7th of this month, the Special CBI Court had sentenced former director of MFL Ashok Kumar Patnaik to three and a half years of rigorous imprisonment (RI).

In addition to that, the court had also imposed a fine of Rs 15,000 on Patnaik. Further, the court had directed Patnaik to deposit Rs 105 crore failing which it would attach his properties.

Notably, CBI had in its preliminary charge sheet in February 2015 named five people including Mishra, his brother Upendra Mishra and son Kaliprasad Mishra.

Besides, it had also named Ashok Patnaik and Baikunthanath Patnaik – both directors of the company.