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Seashore Scam: HC Refuses To Transfer 19 Ponzi Cases To Spl CBI Court

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Seashore Scam: HC Refuses To Transfer 19 Ponzi Cases To Spl CBI Court

by OB Bureau
July 17, 2023
in City, Cuttack
Reading Time: 2 mins read
Orissa High Court
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Cuttack: The Orissa High Court has dismissed a petition, seeking transfer of 19 criminal cases pending in different courts of the state related to the multi-crore Ponzi scam, involving Seashore Group of Companies CMD Prashanta Kumar Dash, to the Special CBI Court in Bhubaneswar.

“In a Special CBI court, the prosecutor is the CBI. In the present case, in regard to the left out 19 cases, it is obvious that the CBI would not be the prosecutor, but the local police. Therefore, to ask such cases to be transferred to the CBI Court would be impermissible in law,” Chief Justice S Muralidhar said on Friday.

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Investors were duped of their deposits through the Ponzi firms in this Rs 578-crore scam. The CBI took over investigation of 22 of the 41 FIRs registered against Seashore Group following the Supreme Court directive on May 9, 2014. While trial in these 22 cases is pending before the Special CBI Court, the remaining 19 cases are pending in courts under the jurisdiction of which the respective police stations – Dhenkanal, Rourkela, Soro, Nabarangpur, Jajpur, Berhampur, Titilagarh and Sonepur- had registered the FIRs.

While the petitioner contended that the allegations in the 19 cases were no different from the 22 FIRs taken over by CBI, the CJ observed that there have to be separate trials for each of the ‘offences’ alleged to have been committed by him and others of Seashore Group of Companies vis-a-vis individual depositors. “It cannot be said all the cases constitute the ‘same offence’ and part of the same ‘cause of action,” the bench held.

Notably, the Supreme Court had rejected an identical petition of Dash on January 18, 2019.

On the petitioner’s prayer for appearing in these courts in virtual mode, the court said the request has to be considered by those respective courts keeping in view that such facilities are available in the District Court Complexes and other subordinate courts.

 

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