Seashore Chit Fund Scam: Orissa High Court Refuses To Quash Proceedings Against Ex-BJD MLA Pravat Ranjan Biswal

For context, the Seashore Group of Companies floated a major ponzi scheme which duped thousands of low-income gullible investors by falsely promising exorbitant annual returns. A charge-sheet was filed on 07.03.2015 in the Court of the Special CJM, CBI, Bhubaneswar against one Prashanta Kumar Dash who was the then M.D. of Seashore Group of Companies and other Directors of the Multipurpose Co-operatives of Seashore Group by keeping the investigation open.

Though the petitioner/ex-MLA was not named in the FIR, he was implicated in the case through the supplementary charge-sheet for alleged commission of offences under Sections 7/11/12 read with Section 13(1)(d) of the Prevention of Corruption Act, 1988.

The precise allegation against the petitioner was that he being the MLA of Cuttack-Choudwar Constituency received a sum of Rs.25 lakhs from the account of Seashore Multipurpose Cooperative Ltd. during the year 2011 for extending arms protection to the Group for continuing with their illegal financial scam smoothly at Cuttack and its nearby areas.

The petitioner had earlier filed an application under Section 482 CrPC seeking to quash the proceeding. The High Court by an order dated 11.04.2023 had disposed of the said case directing the trial Court to consider the charge as expeditiously as possible and in case charge is framed, the trial of the case was directed to be completed within a period of one year from the date of framing of the charge.

Accordingly, the charge was framed on 23.09.2023 and 28 prosecution witnesses have been examined till date. The petitioner pointed out that despite the trial Court's order, the prosecution has been lethargic in producing its witnesses for examination, which is causing detriment to his political career. Thus, he sought for quashing the pending proceedings against him.

However, the CBI counsel opposed the prayer by contending that delay in trial by itself cannot provide a leeway for quashing of case.

Having heard both the sides, the Court was not inclined to quash the case at this advanced stage. It rather asked the Special Judge, CBI-1, Bhubaneswar to expedite the trial and conclude the same within next six (6) months.

Case Title: Pravat Ranjan Biswal v. Union of India

Case No: CRLMC No. 1253 of 2026

Date of Order: July 02, 2026

Counsel for the Petitioner: Mr. Hemant Kumar Mund, Advoate

Counsel for the Opposite Party: Mr. Sarthak Nayak, Retainer Counsel (CBI)

Citation: 2026 LiveLaw (Ori) 75