Sitting MlA and BJD candidate for the Rourkela Assembly seat Sarada Prasad Nayak has landed in a fresh quandary after the Justice RK Patra Commission probing chit fund scam in the State recently served a show-cause notice asking him to reply why a petition against him cannot be admitted.
Justice Patra served this notice on Nayak on March 20, 2014 on a complaint lodged by one Khuku Biswal of Rourkela, who had invested an amount of Rs 10,000 on May 16, 2005, in the Sundergarh District Multi Purpose Co-operative ltd (SDMCl) of which Sarada Nayak was the president.
Biswal in her petition had mentioned that she was issued a fixed deposit certificate and promised Rs 20,000 on its maturity on May 16, 2012. She stated that the organisation did not exist on the maturity date. Biswal in her petition also apprised the commission that though she filed a complaint with Bondamunda police station in February 2013, her complaint was not registerd.
She prayed to the commission to take appropriate action against the SDMCl and its president Sarada Prasad Nayak. The Commission served a the notice on March 20, 2013 and asked Nayak to appear before it in person or through advocate on April 21, 2014. Besides, two other investors of the SDMCl, Sunil Dandpata and Jauri Kandalana, have reportedly sent complaints to State Crime branch. They had deposited Rs 10,000 and Rs 50, 000 respectively.
“We have received complaint of Dandapata. We are now examining the complaint and we will take necessary action soon accordingly,” said R Patnaik, Superintendent of Police, Economic Offence Wing of the State Crime Branch. MlA Nayak, however, claimed innocence over the matter. “I have said earlier that I have resigned long back and I am not involved with this organisation any more,” said Nayak. “This is politically motivated,” he added.