Chief Minister Naveen Patnaik on Tuesday announced the setting up of an inquiry commission headed by retired chief justice of Sikkim High Court to probe the multi-crore chit fund scam in the state.
We have appointed Justice RK Patra, retired chief justice of High Court of Sikkim and former chairman of Odisha Human Right Commission to head the commission of enquiry into the chit fund issue, Patnaik told media persons.
He also announced creation of a fund with a corpus upto Rs 300 crore to give relief to the genuine small investors who have lost their money in the scam.
He said, the state government has put in place a strong legal and financial arrangement so that the people do not suffer undue losses in future.
The state government has directed opening of grievance cells in the office of the Superintendent of Police (SP) in every district. SPs have been asked to meet the complainants on daily basis.
For speedy trail of the chit fund related cases, the state government will approach the High Court for constitution of special courts. It may be noted that the Odisha High Court, recently, declined to nominate a sitting judge to head the judicial inquiry ordered into the fraudulent activities of deposit collection companies.
Patnaik said, the state government is closely following up with the Government of India for the Presidential assent of the Odisha Protection of interest of Depositors (in financial establishment) Bill, 2011.
As per the government estimates, 650,000 people have been duped to the tune of Rs 4375 crore between January, 2012 and June, 2013, by the chit fund companies operating in the state. The state police and crime branch have taken action against 127 firms, filed 280 cases and arrested more than 300 persons for involvement in the illegal money making schemes. The companies against whom the cases are registered include Seashore group, Arthatatwa, Rose Valley, etc.
