Four fast-track courts to deal chit fund fraud

Bhubaneswar: A day after President Pranab Mukherjee gave assent to the Odisha Protection of Interests of Depositors (in Financial Establishments) Bill, the Odisha government on Wednesday decided to set up four special courts to fast-track the chit fund fraud cases.
 
These courts will be established in Bhubaneswar, Balasore, Sambalpur and Berhampur, sources in direct knowledge of the development said.
 
These courts will have one public prosecutor each and an officer to the rank of ADM to assess the seized properties of fraudulent companies, they added.    
 
This was decided at a meeting in which top officials including Home Secretary Bipin Saxena, ADG (Crime Branch) BK Sharma and Law Secretary Satrughna Pujhari were present. Sources said, since it would be a challenge for the State government to implement the new Act with retrospective effect, the Crime Branch of Odisha police will draft a report so that the registered cases can come under the purview of the new Act.      
 
According to officials, the Bill will come into force with the day of State government’s notification regarding the Bill.
 
Meanwhile the state government said it would soon frame rules for early implementation of the law.
 
"We will soon frame rules so that a number of investors allegedly duped by different ponzi funds can get back their investment," Finance Minister Prasanna Acharya stated.
 
Stating that the new law will come as a major tool for the State government to take on the fraudulent money circulation companies, the minister said properties of the ponzi companies can be confiscated and auctioned by the authorities.
 
"Now the investors can hope to get back their money," Acharya said, adding, the new law will protect interest of the depositors and had extensive safeguards for protecting small investors from fraudulent financial entities in Odisha.