Court orders confiscation of Katloon chit fund’s properties

Berhampur: A specially designated court today ordered confiscation of properties worth Rs 1.33 crore of scam-tainted chit fund Katloon Management and Financial Services Limited.

Earlier, during 2015, the director of the ponzi firm, Ashwini Nayak was arrested by the Economic Offence Wing of the Crime Branch and later last year, the company’s promoter Kailash Chandra Sethi was also nabbed on charges of duping people of nearly Rs 5 crores through its various branches.

As per sources, eight other accused involved in the scam are yet to be traced.

The chit fund company began its operations in 2010 through its offices at Bhubaneswar and Ganjam and collected money from depositors on promise of hefty returns.