The Economic Offences Wing (EOW) of the Madhya Pradesh Government on Wednesday issued a notice to former Chief Minister Digvijay Singh in connection with an Rs 714 cr MPSIDC scam.
Official sources said that the wing has received some new facts in connection with the scam and thus Singh has been asked to appear in the EOW office on January 16.
Notably, during the period of 1995 to 2002, the MPSIDC had sanctioned Rs 714 cr to 42 companies as Inter Corporate Deposits (ICDs). After the BJP came to power in 2003, the Commercial Taxes department got the matter investigated and it was found that funds were allocated to the companies, without any scrutiny.
Official sources said that the EOW has already submitted challan against 19 companies, while investigation is in progress in cases related to other companies and soon challan against the remaining companies would also be submitted.
During the period, when the scam took place, Narendra Nahata and Rajendra Singh were chairpersons of the MPSIDC and Managing Directors (MDs) were MP Rajan and AR Mohanty. Mohanty is Additional Chief Secretary in the State Government now and he is also feeling the heat.