Two Chit Fund Heads in Baripada sentenced to 4 Yrs RI

Baripada, Dec 02: A local court in Mayurbhanj district on Monday sentenced the chief and deputy chief of a ponzi company to four years imprisonment.

Chief Judicial Magistrate, Baripada, Sanjay Sahu convicted Puban Bihari Behera and Subash Chandra Mohanty, chief and deputy chief of the ponzi firm, Zodiac Foundation of Rairangpur in the district and sentenced them to four years rigorous imprisonment.

The CJM slapped a fine of Rs.1.20 lakh on each, and an additional six months rigorous imprisonment in case of non-payment.

Altogether 14 witnesses were exmined by the judge before pronouncing the verdict.

The duo, according to prosecution, started the scheme in 2009 and collected deposit of Rs 8,510 from the individual depositors with a promise of Rs 50,000 loan against their deposit.

In this way, they amassed about Rs 35 lakh from the depositors.

But as the chit fund company failed to return the amount, the depositors filed FIR in Rairangpur police station in 2013.