BHUBANESWAR/BERHAMPUR: The CBI, probing frauds by 44 chit fund companies, on Tuesday raided Safex Infra India Limited, accused of cheating investors of more than Rs 10 crore.
Raids were conducted at 14 places in Bhubaneswar, Berhampur and Khurda.
“Incriminating documents were seized from residences of directors Firoj Khan, Purna Chandra Biswal, S Chinmaya Subudhi, Amanullah Khan, Santosh Kumar Nanda,” said a CBI officer.
The company, which started in 2010, was into illegal money circulation business with a monthly turnover of nearly Rs 1 crore. It targeted gullible investors, mostly Odia labourers in Surat and proliferated in southern parts of the state, CBI sources said.
“It paid back some amount to investors as interest or incentives while illegally siphoning off huge money into other trades. Some fake companies were floated to show that it was into legitimate activities,” the officer said.
The Crime Branch, which earlier probed the fraud, had arrested eight functionaries of the company. On September 12, 2012, it raided the company’s offices in Bhubaneswar, Berhampur and Chhatrapur.
The state government has attached some properties of Safex in Berhampur and Ganjam.
Read full article: TOI