Shareholder charges Air Odisha with fraud

Bhubaneswar: A shareholder of home-grown intra-state flight operator, Air Odisha, has filed a fraud case against the company at the Khandagiri police station.

The complainant, identified as Sandeep Ray, son of BJP MLA Dilip Ray, had alleged in his complaint that
that two cheques worth Rs 40 lakh given to him by the company has bounced. The amount was part of the payment after he withdrew his 40% stake in the company that he had acquired for Rs 80 lakhs. The company had, however, returned him Rs 40 lakhs, 50% of his invested money, earlier, Ray said in his complaint.

However, Air Odisha MD Santosh Pani dismissed Sandeep’s allegation, terming it as a conspiracy.

Recently, Air Odisha had threatened to suspend air services to Rourkela and Sambalpur effective March 21 due to non-payment of subsidy by the government. Following this, the State government had served a ‘show cause’ notice to the domestic carrier asking it why the agreement should not be cancelled and its bank guarantee encashed for violating the MoU norms.

Soon thereafter, Air Odisha announced resumption of its intra-state flight services to all four cities after the State government cleared the pending subsidy dues to the carrier. Besides, the home-grown flight carrier announced expansion of its air services to Bolangir and Kalahandi from next month.