Economic Offence Wing

   Economic Offences Wing in CID CB was created vide Govt. of Odisha Home Department Notification No.35914/D&A dtd.18.08.2011 and started functioning at Bhubaneswar from 22.02.2012 under the direct guidance and supervision of Addl. D.G.P, CID,CB, Odisha. DIGP, EOW exercises full control and authority over EOW and S.P,EOW who works under DIGP, EOW looks after the work, efficiency and discipline of the organization . EOW has been declared as a Police Station vide Home Department Notification No.36057-Home-DA1-CRTN2-0015-2012 dt.11.09.2012 having all Odisha jurisdiction . Economic Offences Wing which is the Nodal Agency of the State Govt. to deal with Economic Offences has been taking proactive action against Chit fund Companies/Cooperative Societies engaged in unauthorized collection of public deposits. It also investigates cases relating to Land Scams, Bank Frauds, Cheating, Forgery and Criminal Breach of Trust.

NATURE OF CASES REPORTED:-

    Reports relating to cheating and misappropriation of public deposits by unauthorized Non Banking Financial Companies/Chit Fund Companies, cheating by real Estate Companies and Bank Fraud cases reported by various banks are being dealt by EOW. Besides, reports are also received directly from the Government regarding govt. land scam using fraudulent document by land mafias.

The odisha protection of interests of depositors

The Prize Chits and Money Circulation Schemes (Banning) Act, 1978

Number of cases registered at EOW, Bhubaneswar

Case 1

       This case was registered on the report of complt. who is an investor, against M/s Land India Real Estate Private Limited and M/s Land India Assets Limited for unauthorized collection of public deposits on different lucrative schemes of the company. During investigation of the case large numbers of investors were examined and relevant documents were seized on their production. Besides 10 nos. of Bank Accounts of the company as well as of its MD/Directors having a balance of Rs. 8,12,258/- have been frozen and landed properties to the extent of approximately Ac 8.00 dec identified. Accused Managing Director and two other Directors have been arrested and forwarded to Court. On the basis of proposal submitted by Economic Offences Wing, Bhubaneswar, Government have issued Ad-Interim Order U/s 3 of Odisha Protection of Interests of Depositors (in Financial Establishments) Act, 2011, attaching the movable and immovable properties of the above company, its Managing Director and other Directors.

Case 2

       This case was registered on the report of complt. against M/s Sarala Realcon Private Limited for cheating the complainant and others by not providing land as per agreement. During investigation of the case large numbers of investors were examined and relevant documents have been seized. Besides, four numbers of vehicles (Fortuner/ BMW/ Pajero/ Scorpio), cash of Rs. 3, 12,500/- and several bank accounts of the company and of its MD/ Directors have been seized/ frozen. The MD of the company and its two other directors were arrested and forwarded to court. Other immovable properties acquired by the company out of the said public deposit have been identified for the purpose of attaching the same under the provision of OPID Act.

Case 3

       This case was registered on the report of complt. against M/s Vista Management Services Limited for unauthorized collection of public deposit on different lucrative schemes of the company. During investigation of the case large numbers of investors were examined and relevant documents have been seized. Besides, six numbers of vehicles (tipper/ terax loader/ Bolero /Innova) and bank accounts standing in the name of the company and of its MD/ Directors have been seized/ frozen. Five accused persons including the MD and two Directors of the company have been arrested and forwarded to court. Further, landed properties acquired in the names of company and of its MD/Directors have also been identified for the purpose of attachment under the provision of OPID Act.

Case 4

       This case was registered on the report of complt. who is an investor against M/s OAK India Multi State Credit Co-operative Society Limited for unauthorized collection of public deposits on different lucrative schemes of the company. During investigation of the case large numbers of investors have been examined and relevant documents have been seized. The Managing Director of the company has been arrested and forwarded to Court. The investigation of the case is continuing for arrest of other accused Directors and scrutiny of bank accounts of the company to find out diversion of fund.

Case 5

       This case was registered on the report of complt. against the Managing Director and other Directors of M/s Tresty Security Limited for unauthorized collection of public deposits. During investigation of the case large numbers of investors have been examined and relevant documents have been seized. Luxurious vehicles (Nissan Sunny/ Mahindra Verito/ two Chevrolet Spark cars) purchased by the company and by its MD/ directors out of public money have been seized. The accused Managing Director and two other directors have been arrested and forwarded to the court. Efforts are on to identify movable and immovable properties acquired by the company out of public deposit for attachment under the provision of OPID Act.

Case 6

       This case was registered on the report of President of Defence Intercity Vatika Association against Sainika Welfare Organisation, India for cheating the complainant and others by not providing land as per agreement. During investigation of the case numbers of investors have been examined and relevant documents seized on their production. Three accused persons have been arrested and forwarded to court. Bank Accounts of the organisation as well as of accused Directors having balance of Rs. 53.5 lakhs has been frozen. The investigation of the case is continuing.

Case 7

       This case was registered on the report of Director of M/s Reputed Real Estate Private Limited for cheating of Rs. 18 crores by M/s BRYS International Pvt. Ltd. and M/s Sarvoyoni Builders Private Ltd. During investigation of the case, relevant documents were also seized and main accused, MD of M/s BRYS International Pvt. Ltd. was arrested from Delhi and forwarded to Court. Further investigation of the case is on.

Case 8

       EOW 10 dtd. 24.04.2013 u/s.467/ 468/471/420/34 IPC, R/w Sec. 4,5 & 6 of Prize Chits and Money Circulation Schemes (Banning) Act,1978
Charge sheet was submitted u/s. 420/467/471/34 IPC. R/w Sec. 4,5 & 6 of Prize Chits and Money Circulation Schemes (Banning) Act,1978 and Sec. 6 of Odisha Protection of Interests of Depositors (in Financial Establishments) Act,2011 against accused persons Gagan Patra and Subhendu Sekhar Panda and Diptikanta Behera. In this case trial was conducted in the court of Hon’ble CJM, Mayurbhanja, Baripada and the court pronounced judgement on 20.04.2015. Accused Diptikanta Behera is sentenced to undergo RI for four years and to pay a fine of Rs.30,00,000/- in default to undergo further RI for one year on each count for his conviction u/s.420/468 IPC, RI for five years and to pay a fine of Rs,.30,00,000/- only in default to undergo further RI for one year for his conviction u/s.467 IPC, RI for two years and to pay a fine of Rs.10,00,000/-only in default to undergo further RI for six months for his conviction u/s.471 IPC and to undergo RI for two years and one year for his conviction u/s. 4 & 5 of PCMCS (Banning) Act,1978 respectively. Convicts Gagan Patra and Suvendu Sekhar Panda are sentenced to undergo RI for three years and to pay a fine of Rs.5,00,000/- only in default to undergo further RI for 6 months on each count for their conviction u/s.420/468 IPC, RI for four years and to pay a fine of Rs.5,00,000/- only in default to undergo further RI for six months for their conviction u/s.467 IPC, RI for two years and to pay a fine of Rs.5,00,000/- only in default to undergo further RI for six months for their conviction u/s.471 IPC and to undergo RI for two years and one year for their conviction u/s.4 & 5 of PCMCS (Banning) Act,1978 respectively. Also ordered that all the sentences imposed on the convicts are to run concurrently.

Case 9

       EOW PS Case No.11 dtd. 24.04.2013 u/s.406/409/ 420/34 IPC registered against Maa Mangala Saving & Credit Cooperative Society
Preliminary Charge sheet was submitted u/s. 406/409/420/120-B IPC against accused persons Namely Binayak Mishra and Geetanjali Panigrahi. In this case trial was conducted in the court of Judicial Magistrate-cum-A.S.J., Khurda and the Hon’ble court pronounced judgement on 20.07.2016. Accused Binayak Mishra was sentenced to undergo imprisonment for a period of five years and Geetanjali Panigrahi was order to undergo imprisonment for a period of three years with fine.

Case 10

       EOW PS Case No.08 dtd. 12.04.2013 u/s.420 IPC against Shirdi Sai Estates Pvt. Ltd.
Preliminary charge sheet u/s. 465/467/468/471/ 406/ 411/420/ 120-B/ 34 IPC, R/w Sec.4, 5 & 6 of Prize Chits and Money Circulations Schemes (Banning) Act, 1978 and Sec. 6 of Odisha Protection of Interests of Depositors (in Financial Establishments) Act,2011 was submitted against accused M.D. Prakash Chandra Panda and M/s. Shirdi Sai Estates Pvt. Ltd. company represented by its M.D. Prakash Chandra Panda in the Hon’ble Designated Court, Cuttack. The trial of the case was conducted in the court of Hon’ble Designated Court, Cuttack and the humble court pronounced judgement convicting the accused persons and sentenced accused M.D. Prakash Chandra Panda to undergo RI for 2 years for the offence U/s 406 IPC, RI for 4 years and fine of Rs.3000/- for the offence U/s 468 IPC, RI for one year for the offence U/s 471 IPC, RI for 5 years and fine of Rs.1 Lakh for the offence U/s 6 OPID Act. Beside, M/s Shirdi Sai Estates Pvt. Ltd. Company as corporate entity represented by its M.D. Prakash Chandra Panda has been sentenced to pay a fine of Rs.2 Lakhs in default R.I. for 1 year.

Case 11

       EOW PS Case No.01 dtd. 05.10.2012 u/s 419/420/468/471/34 IPC
Preliminary charge sheet u/s.419/ 420/467/468/471/120-B/34 IPC was submitted against accused Rabindra Kumar Jena and 05 others for fraudulently availing loan from Allahabad Bank on the basis of forged documents and cheating the bank. The trial of the case was conducted in the court of Hon’ble JMFC, Cuttack and the court pronounced judgement convicting the accused Rabindra Kumar Jena and sentenced to undergo RI of 3 years and fine of Rs.10,000/- u/s.419/34 IPC, in default another 06 month of RI to undergo RI of 03 years and a fine of Rs.10,000/- u/s. 420/34 IPC in default another 06 month of RI, to undergo RI of 03 years and a fine of Rs.10,000/- u/s 467/34 IPC, in default another 06 month of RI, to undergo RI of 03 years and a fine of Rs.10,000/- u/s.468/34 IPC, in default another 06 month of RI, to undergo RI of 03 years and a fine of Rs. 10,000/- u/s 471/34 IPC, in default another 06 month of RI u/s.120-B IPC and a fine of Rs.1,000/- ID, in default of which 15 days of RI. All the sentences shall run concurrently.

Case 12

       CID PS Case No.03 dtd.10.01.2012 u/s.409 IPC
In this case charge sheet U/s 409/467/468/ 471/ 120-B IPC was submitted against accused Bichitrananda Mohanty and two others for misappropriation of Govt. money to the tune of Rs.1,89,86,987/- by Sri Bichitrananda Mohanty, Cashier and Sri Brajaraj Biswal, District Panchayat Officer of Collectorate, Jajpur during the period from 01.04.2010 to 21.07.2011 by forging cheques issued to different G.Ps. of Jajpur district. The trial of the case was conducted in the court of Hon’ble Chief Judicial Magistrate, Jajpur and the Hon’ble court pronounced judgement and sentenced convict Bichitrananda Mohanty to undergo Rigorous Imprisonment for seven years and to pay a fine of Rs.20,000/- for the offence u/s.409 IPC, in default of payment of fine he shall undergo further period of six months RI, sentenced to undergo five years RI and to pay a fine of Rs.15,000/- for the offence punishable u/s.467 IPC, in default of payment of fine he shall undergo a further period of four months RI, sentenced to undergo a period of five years RI and to pay a fine of Rs.15,000/- for the offence u/s.468 IPC and in default of payment of fine, he shall undergo further period of four months RI. He is also sentenced to undergo a period of three years RI and to pay a fine of Rs.5,000/- for the offence u/s.471 IPC and in default of payment of fine, he shall undergo further period of two months RI. Convict Brajaraj Biswal is sentenced to undergo Rigorous Imprisonment for five years and to pay a fine of Rs.15,000/- for the offence u/s. 409/120(B) IPC, in default of payment of fine he shall undergo further period of four months RI. He is sentenced to undergo three years RI and to pay a fine of Rs.10,000/- for the offence punishable u/s.467/120(B) IPC, in default of payment of fine he shall undergo a further period of three months RI, sentenced to undergo a period of two years RI and to pay a fine of Rs.10,000/- for the offence u/s.468/ 120(B) IPC and in default of payment of fine, he shall undergo a further period of three months RI. He is also sentenced to undergo a period of three years RI and to pay a fine of Rs.5,000/- for the offence u/s.471/120-B IPC and in default of payment of fine, he shall undergo further period of two months RI. Accused Head Clerk Dillip Kumar Dash was acquitted on benefit of doubt.

Case 13

       EOW PS Case No.01 dtd. 03.01.2015 U/s 467/468/ 471/ 420/ 406/120-B I.P.C, R/w Sec. 4,5 & 6 of PCMCS (Banning) Act, 1978 and Sec.6 of OPID (in FE) Act, 2011/
In this case charge sheet vide C.S.No.23 dtd.23.09.2015 u/s. 467/468/471/ 420/ 406/120-B IPC, R/w Sec. 4,5 & 6 of PCMCS (Banning) Act,1978 and Sec. 06 of OPID (in Financial Establishments) Act,2011 was submitted against accused Subhranshu Singh keeping investigation open u/s 173 (8) CrPC. for unauthorized collection of public deposits to the tune of crores of rupees under different schemes on the pretext of payment attractive interest packages. The trial of the case was conducted in the Hon’ble court of Presiding Officer, Designated Court (under OPID Act) Cuttack and the court pronounced judgement on 06.02.2018 has convicted accused Subhranshu Singh and sentenced to undergo RI for Seven years and fine of Rs.1,00,000/- in default RI for 18 months for the offences U/s 467/468/471/420/406/120-B I.P.C. and Sec.6 of OPID Act, 2011.The investigation of the case is continuing.

1. Whether I can invest in a company /society offering higher rate of interest?

Ans:-No company can offer more than 12.5% interest. Promise of high return means high risk. Before making any investment please ensure that the company seeking investment/deposit is authorised to do so by a regulator like RBI, SEBI etc.

2. Whether one can invest in on-line schemes offering high return/rewards?

Ans:- Do not get lured by online schemes which offers high return. Before making any investment please verify and findout whether the company seeking deposit is genuine and doing real business or not. The financial position of the company also needs to be ascertained.

3. Whether I can invest in a company/entity which promises future delivery of services /lands/commodities ?

Ans:- Before making any investment in such company, please ensure that company is registered with SEBI as a collective investment management company.

4. Whether I can make investment in Multi State Co-operative Society?

Ans:- Public should not make investment in Multi State Co-operative Society as Multi State Co-operative Societies are prohibited from accepting deposits from public/nominal members. Before making any investment please ensure that you have been inducted as a member of the society.

5. What should I find out before purchasing plots /flat from a builder/ real estate firm?

Ans:- Before purchasing any plot/flat from a private builder/real estate firm, the right and title of the land needs to be verified from Tahashil office and Sub- Register Office. It has also to be ascertained from BDA/Competent Authority whether the apartment project/plotting project has been approved by them or not. Further the credential of the builder/ real estate firm also has to be verified.

6. Whether I can apply for loan from unincorporated bodies/firm offering hassel free/ interest free loans as per their advertisement in local news paper.

Ans:- Before applying for loan from any unincorporated bodies/firms/company, please make back ground check of such UIB’s/firms and its credential. Do not pay any advance in the name of processing fee/ insurance fee etc.

7. The builder has failed to provide service/facilities/amenities as per agreements. To whom should I complain against the builder?

Ans:- You can lodge complain to BDA/ Competent Authority who has approved the project. You can lodge FIR in Local Police Station. Further case can also be filed in consumer forum against the builder.

Do’s:-