Home BIG STORY Odisha court orders auction of Sai Pragati’s properties

Odisha court orders auction of Sai Pragati’s properties

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Odisha Sun Times Bureau
Cuttack, May 16:

A designated court here dealing with cases pertaining to the multi-million crore chit fund scam in Odisha today directed the state government to confiscate properties of Ponzi firm Sai Pragati Group of Companies and auction it to distribute the realised amount equitably among the duped investors.

sai pragati

The Cuttack Special Chit Fund Court directed the concerned officials to auction the properties so that the sale proceeds can be distributed among the depositors.

In its order, the court told the government to confiscate 47 acres of land in Bhubaneswar and its outskirts and bank deposits of Rs 2.77 crore.

According to sources, the competent authorities would issue an online notification inviting depositors to apply online for a refund. The applicants would be segregated at the panchayat level. Further, the applications would be verified by local police officials who would submit their report to respective District Collectors. The Collectors would then forward the documents to the competent authorities who in turn would submit it to the court. The court would decide on the final list of duped investors who would be eligible to get the refund as per the provisions of the Odisha Protection of Interests of Depositors (in Financial Establishments) Act, 2011.

In July 2014, the Economic Offence Wing (EOW) of Crime Branch had sought the nod of the state government to attach properties of Sai Pragati Group of Companies. The fraudulent chit fund operator is accused of duping investors’ to the tune of Rs 20 crore.

Notably, Sai Pragati is not among the 44 chit fund companies, which are facing CBI probe on the basis of Supreme Court order.

Meanwhile, Cuttack district administration has decided to auction the properties of M/s Rose Valley Group of Companies again on May 31. The Cuttack ADM Bibhuti Bhusan Das has initiated the process to auction the properties inviting interested bidders to participate in the e-auction scheduled between 11 am and 3 pm on May 31.