Cuttack: The Odisha Protection of Interests of Depositors (OPID) court in Cuttack has approved attachment of properties of chit fund company Rose Valley Group of Companies worth around Rs 6.52 crore by the EOW.
The Economic Offences Wing (EOW) had registered a case under Prize Chits & Money Circulation Schemes (Banning) Act, 1978 against Rose Valley group and its directors by taking over a case registered at Soro police station in Balasore district on the allegation that Rose Valley Hotels and Entertainments was into unauthorised collection of public money by promising high rate of interest.
It was alleged that the company was taking deposits camouflaging it as advance payment for hotel booking under the holiday package and issuing provisional certificates. Without any authorisation either from RBI or SEBI, the group was collecting public deposit under its different schemes by opening 65 branches in Odisha alone.
During investigation, the EOW filed 5 charge-sheets against Rose Valley group, its directors Goutam Kundu and Sibamoya Dutta and regional/branch managers Bikramjit Bhoumik and Badal Kumar Kar.
During investigation, the movable and immovable properties created by the accused companies through its directors out of the public deposits in their names as well as in the name of Rose Valley Group of
Companies were traced and 3 ad-interim proposals for attachment of those properties submitted by EOW under the provisions of OPID Act. On the basis of the proposals, the Finance department of Odisha government had issued ad-interim order for attachment of properties.
The Designated Court under OPID Act, Cuttack confirmed the 3rd ad-interim order of attachment of properties worth Rs 6.52 crore and directed competent authority i.e. ADM, Cuttack to recover/realise the amount from the bank accounts of the OPs companies.
It also directed for equitable distribution of money from the interest accrued from the properties among duped investors and depositors.