Odisha Sun Times Bureau
Brahmapur, Nov 11:
The Additional Sessions Judge (II) court here on Monday remanded Khirod Mallick, head of Bharat Integrated Social Welfare Agency (BISWA), an NGO based in Odisha’s Sambalpur district, to judicial custody.
A three-member team of Crime Branch officials produced Mallick in the court after the completion of his 6-day remand period. Later, ADJ Chintamani Panda remanded him to judicial custody after rejecting his bail petition.
Mallick was later sent to the Brahmapur Circle Jail.
The Crime Branch police, in the course of their investigation, have found out that while Mallick has taken loans to the tune of Rs 231 crore from several nationalized and overseas banks, he has only Rs 3 lakh left in his accounts.
“Despite several reminders from these banks for repayment of loan, Mallick had been cheating them with the plea that the entire amount has been given away as loans to several self-help groups (SHGs) which have defaulted on repayment”, informed a Crime Branch official.
He also said that Mallick, during interrogation, had failed to give the details of the amount of loans and financial assistance given to the SHGs. There was also no document relating to the financial transactions with these SHGs, he added.
“Besides, Mallick, when asked about the investment of money taken as loan from various banks, had told us that it has been given to the people who are yet to return the money. He had also said that there is no official document on the loan amount given to the people. We suspect that Mallick might have deposited the money in some nationalized and overseas banks”, the official said.
Apart from this, BISWA had invested huge amount of money collected from the people through equity share but has not returned such investments to them till date.
Sources in the Crime Branch said Mallick has registered seven companies with BISWA. These companies are being managed by his kin as directors. The NGO has withdrawn Rs 10.87 crore from these companies towards payment of salary, house rent, electricity bill and other miscellaneous expenditure.
It may be mentioned that the Gajapati collector and sub collector had submitted their report to the Crime Branch, during its recent visit to the district. In the report, it was stated that though the district administration had asked BISWA not to indulge in any financial activities in the district, the latter had continued its illegal activity.
Meanwhile, the Crime Branch has begun investigation into the political link of Mallick and utilization of government machinery in the massive financial fraud.
Mallick is the brother of former minister and senior BJD MLA Pramila Mallick.