Artha Tatwa Ponzi Scam: Orissa HC Dismisses Former AG Ashok Mohanty's Plea

The Orissa High Court has dismissed the criminal revision petition filed by former Advocate General of Odisha Ashok Mohanty who is an accused in the 2014 Artha Tatwa Ponzi scam.

"it could not be said that the accusation levelled against the former AG by the prosecution, particularly for the commission of offences under sections 120-B, 409, 468 and 471 IPC were groundless and that there were no sufficient grounds for proceeding against him for such offences, says the High Court order."

The case against Odhisa's former Advocate General Ashok Mohanty

For the unversed, Mohanty has been accused of criminal conspiracy in the 500 crore chit fund scam and he had approached the Court claiming no involvement in the case.

The case against Odhisa's former Advocate General is that he has misappropriated funds from prime accused Pradeep Kumar Sethy's Tatwa Group of companies.

As per records, accused Pradeep Kumar Sethy had purchased the said building from one of the Judges of this Court for consideration of Rs.1,00,00,000/- (rupees one crore) during April 2011 out of the money flown from the accounts of the Company and later, transferred the said plot to Mohanty.

Unravelling the Artha Tatwa Ponzi Scam

Sethy has been accused of cheating depositors who invested huge amounts in properties in the scheme in lieu of higher returns. However, the company did not construct any flats nor was the investor's money refunded as per the terms of the agreement.

On being asked by the depositors/investors to refund the money paid to the company by them, accused Pradeep Kumar Sethy and other Directors of the Company closed down the branch offices at various places in Odisha.

Is expeditious disposal on the cards?

Rejecting Mohanty’s plea, the Court has further ordered the CBI court to continue regular hearings of the case. It is pertinent to note that SC had directed the Orrisa High Court for expeditious disposal of the case in September 2022.