Former banker, realtors held for Rs 7cr fraud

Also Read

FM extends tax exemption on capital goods used to make lithium-ion cells for battery storage

4 weeks ago

Sabarimala gold loss: Court grants bail to prime accused Unnikrishnan Potty

1 month ago

Bhubaneswar: The Economic Offences Wing (EOW) of the state Crime Branch Wednesday arrested two realtors and a former banker on charges of duping around 160 investors of more than `7 crore on the pretext of facilitating affordable plots on the outskirts of the state capital here.
Ex-Andhra Bank manager and secretary of Andhra Bank Employees’ Housing Co-operative Society Prafulla Kumar Sarangi of Bhimatangi, and partners of real estate firm—Hindustan Developers— Monoj Mohapatra of Nuapada in Cuttack and Ambika Prasad Mohanty of Bomikhal here have been taken into custody on the basis of a EOW case (No.09 June 4) registered under Sections 420, 467, 468, 471, 406 and 120B of IPC as well as Section 6 of OPID Act 2011, a senior EOW official said.
The official said that Sarangi had lured around 160 people, mostly doctors and bankers, into depositing `7 crore with the co-operative society on the promise of providing plots at Hindustan Valley Projects of the society located at Madanpur Mouza.
Soon after, Mohanty and Mohapatra executed sale deeds during 2009-11, but failed to give possessions so far. After realising the fraud, Ratikanta Samal of Satabdi Nagar, one of the duped depositors, approached the investing agency seeking action, the official said.
The official claimed said Sarangi formed the co-operative society for the purpose of selling housing plots in relatively lower prices to Andhra Bank employees. An account was opened in the name of the society at the banks’ Chandrasekharpur branch and he was authorised to operate the account.
“Despite repeated requests by the investors, the accused did not take any step to give possession of the plots and misappropriated their hard earned money,” the official added.