Enforcement Directorate Files New Complaint in Chit Fund Scam Involving ex-BJD ML:
The Enforcement Directorate (ED) has reported that it filed a second supplementary prosecution complaint against former Cuttack MLA Pravat Ranjan Biswal, his wife Laxmi Bilasani Biswal, Seashore Securities Ltd., Seashore Multipurpose Co-operative Ltd, their two directors Prashanta Kumar Dash and Pravat Kumar Dash, along with three others. This action was taken before a Special Court (PMLA) in Bhubaneshwar in connection with a multi-crore chit fund scam.
The ED has confirmed that the court has acknowledged the prosecution complaint. Previously, the ED had filed a prosecution complaint in 2016 in this case, followed by a supplementary complaint in 2017.
The PMLA investigation was initiated by the ED based on a First Information Report (FIR) registered by the Economic Offences Wing (EOW) of the Crime Branch of Odisha Police. Subsequently, a charge sheet was also filed under various sections of the Indian Penal Code (IPC), Prize Chits and Money Circulation Schemes (Banning) Act, and Odisha Protection of Interest of Depositors (in Financial Establishments) Act. The Central Bureau of Investigation (CBI) took over the investigation following an order from the High Court of Orissa.
The ED’s investigation uncovered that the Seashore Group of companies had amassed substantial funds from the public through their registered cooperatives. These funds were then diverted to other shell companies and various related individuals to obscure the source of the funds, effectively layering them. The accused individuals mentioned in the supplementary complaint filed by the ED were also involved in channeling the proceeds of the crime.
The Enforcement Directorate has indicated that further investigation into the matter is ongoing. Over 190 chit fund companies are alleged to have swindled more than Rs 32,000 crore from small depositors in Odisha by promising them high returns on their investments.
Also read: BC Ministers Thank AP CM for Caste Census
