Other States

Odisha court convicts 7 in chit fund scam


Financial firm MD gets 5 years in jail

Seven persons, including the managing director and four directors of a dubious financial firm, were convicted by the Odisha Protection of Interests of Depositors’ court in Berhampur on Thursday. The OPID court awarded MD Santosh Tiadi five years in jail and a total fine of around ₹25 lakh, said Public Prosecutor Bijoy Pradhan.

The other six convicts include the MD’s wife Soudamini Tripathy, his son Suman Tiadi, and two partners Sanjib Patra and Rajib Patra. All of them were directors of the ponzi firm. Two agents of the firm, Kuna Behera and Sushani Satpathy, were also convicted.

The court punished them with two years imprisonment and ordered a total fine of around ₹20 lakh to be collected from them. “As per the orders of the OPID court, the fine collected from these convicts would be returnedto the duped depositors of the dubious firm,” said Mr. Pradhan. The MD has been in jail since his arrest in 2014, while the other six were out on bail.

OPID courts are special courts established in Odisha to decide cases related to chit fund scams. “The seven convicts had started a firm named ‘SS Deposit Scheme’ in the Buguda area of Ganjam district in 2009-10 and collected around ₹50 lakh in deposits from gullible depositors through promise of doubling the amount in two years,” said Mr. Pradhan.

The depositors neither received the promised amount after the maturity period nor could they get back their deposited amount. They later filed a case against persons operating the dubious firm.

Why you should pay for quality journalism - Click to know more

Related Topics Other States
Recommended for you
This article is closed for comments.
Please Email the Editor

Printable version | Jan 23, 2020 1:02:08 PM | https://www.thehindu.com/news/national/other-states/odisha-court-convicts-7-in-chit-fund-scam/article25844468.ece

Next Story