THREE YEARS RIGOROUS IMPRISONMENT TO THEN DIRECTOR OF M/s SAFEX GROUP OF COMPANIES IN A CASE RELATED TO CHIT FUND SCAM

Press Release
New Delhi, 09.05.2018

The Special CJM, CBI Cases, Bhubaneswar(Orissa) has convicted Shri Firoz Khan, then Director of M/s Safex Group of Companies and sentenced him to undergo three years Rigorous Imprisonment in a case related to Chit Fund Scam. The Court has also convicted the M/s Safex Infra India Limited represented by accused Firoz Khan and directed the company to pay compensation of Rs.12 crore which shall be paid to the unpaid depositors after realisations as per law.

CBI had registered the instant case on 05.06.2014 in compliance of the orders of Hon’ble Supreme Court of India passed on 09.05.2014 in WP(C) Nos.401 of 2013 against M/s. Safex Group of Companies and taken over the investigation of the case No.57 dated 12.09.2012 registered earlier at CB, CID, EOW Police Station. It was alleged that accused persons collected Rs.9,36,24,500/- illegally from investors under different schemes from December 2010 to August 2012 but only returned an amount of Rs.45,23,346/- to the investors, thereby, misappropriating the rest amount in conspiracy with each other.

A charge sheet was filed on 30.09.2015 u/s 120B, 420 & 409 of IPC &. Section 4, 5 and 6 of Prize Chits and Money Circulation Schemes (Banning) Act, 1978 against Shri Firoz Khan, Director, M/s.Safex Group of Companies along with 8 others and 01 entity namely M/s. Safex Infra India Ltd in the court of Special CJM, CBI, Bhubaneswar. Accused Firoz Khan, Director, M/s. Safex Group of Companies was named in chargesheeted as an absconder. Subsequently, he was arrested on 20.03.2016 and presently he is in Judicial custody.

The Trial Court found the accused guilty and convicted them.


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