Vigilance will probe into allegations of favouring a private bank by the then Project Director of DRDA cum Chief Executive Officer of DMFT, Jharsuguda violating norms in regard to deposit of huge sum of fund of District Mineral Foundation Trust (DMFT) in the district.
It is learnt that more than Rs 69 crore was deposited in the bank account without knowledge of the then district Collector Paramesaran B. After the mater became public, the Vigilance has directed for probe into the matter.
Sources said an amount of Rs 69,73,98,000 of DMFT was deposited in a private bank till May. As per circular of State Finance Department, State grant can be deposited only in 11 notified nationalized banks, two regional banks and one private bank. But violating all norms, the money was deposited in an un-notified private bank under savings account carrying less interest rate resulting in loss to the State exchequer to a tune of more than Rs 20 lakh per month.
For development of periphery of mining areas, the trust has been created and the Mahanadi Coalfields limited (MCl) regularly contributes its share of funds to the trust’s account for operating coal mines in the district. This apart, TRl Krosaki is also a contributor to the trust fund for quartz mining for its refractory manufacturing unit in Belpahar.
During last the last fiscal, the trust had received a grant of Rs 42.42 crore which had gone up to about Rs 69.74 crore by May. While the deposit has crossed more than Rs 90 crore, an amount of Rs 5 crore has been deposited in an nationalised bank under direction of the district Collector.
Usually, banks offer 3.5 per cent interest on savings banks account against 6.5 for deposited under flexi account. The State Government has directed to deposit Government funds in flexi account to garner more interest. But violating the directions, the PD DRDA deposited amount in savings resulting in loss.
However, after the incident came to light, the district Collector invited quotation for deposit of the amount in flexi account carrying more interest. Meanwhile, Sambalpur Vigilance Superintendent of Police has directed for probe into the incident, said Jharsuguda Vigilance DSP Birendra Naik.