Hyderabad-based firm ‘cheats’ Paradip Port of Rs 65 crore; CBI launches investigation

The Central Bureau of Investigation (CBI) has launched an investigation into allegations of forgery and cheating against a Hyderabad company involved in a housing project worth Rs 65 crore in Paradip, Odisha.

Raids have been conducted across multiple locations in Hyderabad and at the Paradip Port Authority (PPA) premises. The focus is on DNC Infrastructure Pvt Ltd, alleged to have falsified documents in a contract for constructing 350 residential units for port employees at the Nuabazar site.

Lapses in Verification

The letter of intent was issued to DNC Infrastructure on 26 February 2024, requiring security deposits over Rs 2.63 crore, guaranteed by Indian Bank in Kolkata. However, these guarantees were reportedly fake, with fabricated email confirmations, leading to the erroneous work order issuance in June 2024.

Gangadhar Sethy, the executive engineer at the PPA, is facing scrutiny for allegedly bypassing verification protocols. Complaints from unpaid sub-contractors have further implicated him, prompting the CBI's involvement. Despite a police report filed by Sethy in January, the case maintained inertia until national authorities stepped in.

Evidence Seized

An FIR was lodged with Paradip Model Police Station in January but the local police apparently did not accept the case as it was considered a national issue.

The inquiry has led to the confiscation of crucial documents and digital evidence from both the PPA office and Sethy's residence. A formal case has been registered as the investigation proceeds.