EOW ARRESTS MD OF CHIT FUND COMPANY INVOLVED IN FRAUD OF CRORES OF RUPEES
Bureau,Odishabarta
Bhubaneswar:Economic Offences Wing, Bhubaneswar has arrested accused Vijay Prasad Mala, Managing Director of Welfare Buildings & Estate Pvt. Ltd., a chit fund company on 06.09.2021 from his residence at Seethammadhara, Visakhapatnam in EOW PS Case No. 12 dated 17.07.2019 U/s 420/406/467/468/471/120-B IPC r.w. Sec. 4,5 & 6 of PC & MC Schemes (Banning) Act, 1978 / Sec 6 of OPID Act, 2011. Accused Vijay Prasad Mala was produced before the Chief Metropolitan Magistrate, Visakhapatnam on 06.09.2021 and has been produced before the Hon’ble Court of OPID, Cuttack today i.e. on 07.09.2021, after he was brought on transit remand.
The instant case was registered on the allegation of duping a large number of investors to the tune of crores of rupees on the pretext of returning high rate of interest on investment in different deposit schemes floated by Wellfare Group of Companies, Visakhapatnam and its MD Vijay Prasad Mala (the present accused) and its two other Directors.
Investigation of the case conducted so far has revealed that M/s Wellfare Building & Estates Pvt. Ltd. Company was initially registered with ROC, Hyderabad and subsequently changed to Kolkata during the Year-2011, having its Head office at Visakhapatnam and Registered Office at Kolkata. The present accused, Vijay Prasad Mala is the Managing Director of that company. During the period 2009 to 2014, the accused company was operating its branch offices in Odisha at Bhubaneswar, Narsinghpur (Cuttack) and Nayagarh. It has been ascertained that M/s Wellfare Building & Estates Pvt. Ltd. company represented through its Managing Director (the present accused) and others had allured general public with false promise of returning high rate of interest on deposits under different schemes of the company and unauthorisedly collected huge amount to the tune of crores from a large numbers of investors and absconded from the locality after closing their offices. Investigation of the case is in progress.
