CUTTACK: The court of additional district and sessions judge, Cuttack, on Friday directed for auction of properties of Orissa Homes Pvt Ltd and Trisal Estates and Constructions Pvt Ltd for compensating the duped investors. Presiding judge of designated special court Dolagovinda Barik passed the order under the Odisha Protection of Interests of Depositors (In Financial Establishments) Act, 2011.
The Economic Offence Wing (EOW) of the Crime Branch had registered cases against Jagat Jiban Nayak, the managing director of both the companies, besides directors Sumanta Kumar Acharya and Sankar Prasad Panigrahi in 2018 on the charges of misappropriating investments by depositors. The same year, EOW had attached the properties of the real estate companies.
The two companies had floated different real estate schemes and lured 153 persons with attractive returns for investments and collected huge deposits from them. But the firms went back on their promises, duping the investors of crores of rupees. The total amount misappropriated by the accused persons was around Rs 7.54 crore.
According to case records, the attached properties of the company worth around Rs 1.14 crore include 18.3 acre of land having market value of Rs 1.05 crore and nine bank accounts having deposits of Rs 8.87 lakh.In pursuance of a communication received from the Finance department, the additional district magistrate, Cuttack (the competent authority under the Act) had filed a petition before the designated special court for order to sell the attached properties by public auction.
Special public prosecutor Subrata Mohanty presented the case.Endorsing the petition on Friday, the designated special court directed the competent authority (ADM, Cuttack) to sell the attached properties by auction, release the sale proceeds and also to realise the amount in the bank accounts for equitable distribution among the depositors.