Berhampur: The police today arrested the Managing Director of chit fund company Binodini Projects Limited, Dhiren Kumar Swain on charges of defrauding depositors of more than Rs 68.83 lakh Odisha and outside the State.
Swain was arrested under different sections of IPC and Section 6 of the OPID Act 2011 and forwarded to the court today.
Promising higher returns Swain collected money from depositors through branch offices of Binodini Projects Limited in Ganjam district and Surat of Gujarat State in 2010.
When investors did not get back their money as per the promises, they gheraoed the branch office of Binodini Projects in Ayodhyanagar. But officials of the company and Swain delay-dallied in giving back the money to depositors.
Finding no option, the depositors lodged a police complaint at the Baidyanathpur police station in March 2018 against the company and its MD. After registering a case, the police launched an investigation.
Investigations revealed that Swain defrauded at least 523 depositors in Ganjam district, Surat of Gujarat and Chhattisgarh.