HC hands over Balasore chit fund case to CBI

The HC also asked the national investigation agency to submit status report within three months.

Earlier in August, the HC completed hearing of a petition filed by All India Networks’ Welfare Trust which had sought return of its 6,500 members’ invested amount in the multi-level marketing companies run by Khan.

In 2009, the crime branch (CB) of Odisha police unearthed a multi-crore chit fund scam in Balasore district allegedly masterminded by Khan who promised them good returns on their investment. According to sources, Khan’s Kanpur-based company Fine IndSales Pvt Ltd allegedly duped at least two lakh investors from Balasore district who had deposited Rs.1,000 crore in Khan’s companies.

Naseer, whose bank accounts have already been seized by CB was arrested in October 2009, and later released on bail.