FOUR YEARS RIGOROUS IMPRISONMENT TO THEN MD OF ADARSH GROUP IN A CHIT FUND CASE

Press Release
New Delhi, 28.04.2017

      The Special CJM, CBI Cases, Bhubaneswar has convicted Sh. Bijay Kumar Rout, then MD of Adarsh Group and sentenced him to undergo four years Rigorous Imprisonment with fine of Rs. 15000/-. The Court also convicted Adarsh Stalfed Farms Pvt. Ltd and Adarsh Wealth Ventures Pvt. Ltd. and directed to pay a compensation amount of Rs. 12 crore which shall be paid to the unpaid depositors after realization as per procedure laid down under law.

      CBI had registered a case on 05.06.2014 in compliance to the orders of Hon’ble Supreme Court of India passed on 09.05.2014 in WP(C)401 of 2013 against Adarsh Group & others and took over the investigation of FIR registered at police station Bhandaripokhari vide case No.115 of 2013 relating to Chit Fund Scam Case of Odisha State. It was further alleged that Sh. Bijay Kumar Rout, MD of Adarsh Group floated various financial schemes in Odisha and collected deposits from the public through agents. The amounts so collected were allegedly paid to Bijay Kumar Rout, who subsequently absconded without making payment to the depositors.

      During investigation, it was found that the accused persons through their different entities had allegedly collected an amount of Rs. 29,86,97,869/- (approx) from the public and had returned Rs. 8,19,71,981/- (approx) only to few depositors. Thus, the public money allegedly collected from the depositors to the tune of Rs. 21.66 crore (approx) was misappropriated by the accused persons.

      A charge sheet U/s 120-B, 409 & 420 of IPC and Sec. 4,5 & 6 of Prize Chit and Money Circulation Schemes (Banning) Act. 1978 was filed on 31.12.2016 against Shri Bijay Kumar Rout, then MD of Adarsh Group along with 12 other persons and 06 entities including Adarsh Stalfed Farms Pvt. Ltd and Adarsh Wealth Ventures Pvt. Ltd. Accused Bijay Kumar Rout pleaded guilty.

      The Trial is going on against other accused persons and entities.



********