Odisha sets up Rs 300cr corpus fund, names new judge for probe

Succumbing to public pressure, Odisha government today announced setting up of a Rs 300 crore corpus fund to compensate the small depositors who have been duped by ponzi companies.
This apart, the state government also named Justice R K Patra, a retired Chief Justice of Sikkim High Court, to head the commission of inquiry to probe the frauds committed by ponzi companies and the role of influential persons, including politicians, if any.
Noting that under no circumstances will the state government allow genuine investors to suffer loss of their hard earned money, Chief Minister Naveen Patnaik said, "We are putting in place a strong legal and financial arrangement so that people do not suffer undue losses.

"We will set up a corpus fund up to Rs 300 crore to protect the interest of genuine small investors."
He said his government was committed for impartial inquiry and tough action against all those involved.
"We will make sure that no one is spared," he said.

Besides, Patnaik said his government will request the high court for constitution of some special courts for speedy trial of all the cases related to ponzi scam. The state government will engage special prosecutors for effective handling of such cases.
The government also decided to open cells in every district in the office of the superintendents of police (SP). "SPs have been directed to meet complaints on regular basis," he said.

The commission will be asked to submit its report in three-months time, the state government said, adding that it would inquire into the activities of ponzi companies including Saradha, Seashore, Artha Tatwa and others.