CBI registered case against former director of Orissa Mineral Development Company

KOLKATA: The The Central Bureau of Investigation on Thursday registered a case against a former director of Orissa Mineral Development Company (OMDC) for causing a huge loss to the government exchequer.

The director, whose name has been withheld by the central agency for the sake of investigation, held important positions in the Kolkata-based public sector company and in an Uttar Pradesh-based private company.

The case was registered under sections of criminal conspiracy, cheating and misuse of official position. CBI has also included some ‘unknown’ officials in the case for their alleged involvement in the scam.

It was alleged that some officials of OMDC had conspired with the other private persons and companies during the period 2003 to 2010 in formation of a joint venture (JV) for setting up a sponge iron plant in Odisha. Thereafter, the shares of this JV were transferred to private companies in violation of the terms of JV, resulting in huge loss to the exchequer.

Searches have been conducted at seven locations including New Delhi, Kolkata and Sultanpur (UP), which led to recovery of incriminating documents relating to the case.