How Many Financial Scam Cases Came To Logical End? Whenever CBI Or ED Comes, There Is Delay : Supreme Court
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"In my experience, whenever there is a financial scam and the CBI or the ED come into the picture, there is a delay. It takes years together. You tell us in how many financial scam cases it has come to a logical end?", demanded the Supreme Court on Thursday.The bench of Justices M. R. Shah and C. T. Ravikumar was hearing a PIL seeking a probe into the Orissa multi-crore chit fund scam, and...
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"In my experience, whenever there is a financial scam and the CBI or the ED come into the picture, there is a delay. It takes years together. You tell us in how many financial scam cases it has come to a logical end?", demanded the Supreme Court on Thursday.
The bench of Justices M. R. Shah and C. T. Ravikumar was hearing a PIL seeking a probe into the Orissa multi-crore chit fund scam, and the counsel for the CBI sought time to place on record the reply. Reportedly, the petition filed by Pinak Pani Mohanty stated that the chit fund scam that has hit the states of West Bengal, Tripura, Assam and Odisha involves collection of nearly 10,000 crore from the general public especially the weaker sections of the society. The petition further states that more than 25 lakh claims have so far been received by the Commissions of Enquiries set up in the states of Odisha and West Bengal which is indicative of the magnitude of scam in terms of number of citizens that have been defrauded by the ponzi companies. The top court had issued notice to the CBI and the state of Orissa on October 10, 2022. On November 14, 2022, the Court noted, "In the peculiar facts and circumstance of the case and considering the request made by Shri Prashant Bhushan, learned counsel appearing for the petitioner, we request Shri Gaurav Agrawal, learned Advocate, to appear and assist the Court as Amicus Curiae".
Justice Shah: "The CBI director has no time? Some matters need to be given priority. This is an important matter of a chit fund"
Advocate for the CBI: "The SG only has to vet the reply-affidavit...."
Justice Shah: "Hundreds of crores of investors are involved. The CBI and the state should put in their efforts and get back as much money as they can. There are 10 companies....They have no time to consider the cases of poor persons, investors? After this investigation has been taken over by the CBI with regard to the Chit fund, what amount has been repaid? Show us?"
Advocate: "We will put on record how the scheme is working...."
Justice Shah: "Scheme means? We want money. It is their money. We cannot wait for 10 years, 20 years, 30 years. (The perpetrators of the scam) might be in jail but they are enjoying the money! They are fighting the litigation with this money!"
Justice Shah: "In my experience, whenever there is a financial scam and CBI or ED comes into picture, there is a delay. It takes years together. Then, default bail and all other things. In how many financial scams it has come to a logical end? You might have been overburdened, you might have shortage of staff, you don’t have a formulated establishment, all CBI officers are on deputation from other departments, they are here either from the excise department or from the customs department who know nothing about the investigation. I also represented CBI. So I know everything! I was there for 5 1/2 years. Every time some reply has to be filed, it has to be gone through the director. The small things also take time. You have to change the system. You tell us in how many financial scam cases, it has come to a logical end, you tell us at the next date of hearing? Only those persons who have lost their hard-earned money know! We will have it on Monday, no further adjournment! Be serious. Tell your officers to be more vigilant. Give your reply to the amicus curiae by Saturday. No later"
Justice Shah: "In such cases, we are always trying to see the source, where is the money going. And in most of the cases, the money has gone to the tax haven companies. Then extradition. Then UK court and then UK appellate court. Then all the gamut will start. That person will be enjoying in London, whoever it maybe, we are not saying A, B or C. He may be in London or in America. You need to change the system so far as public money is concerned. These are all poor persons. We want the result, counsel. Not that 'we are doing this, we are doing that'. You will say 'forensic audit is going on, we are trying to see the end where it has gone', for a number of years!"
Case Title: PINAK PANI MOHANTY v. UNION OF INDIA