Odisha CM Highlights Chit Fund Scam Victimization on National Consumers Day

Odisha Chief Minister Mohan Charan Majhi revealed his victimization by chit fund scams while urging public awareness about such frauds during a State Level National Consumers Day celebration. He emphasized the government's strengthened regulations against fraud and the BJP-led initiatives for legislative transparency in chit fund activities.

During a State Level National Consumers Day event, Odisha Chief Minister Mohan Charan Majhi disclosed that he too fell prey to chit fund scams, underscoring the need for public vigilance against fraudulent schemes. He narrated his experience of being duped in 1990 and 2002 by two ponzi firms, which cost him his investments due to the deceptive practices of company agents.

Majhi commended the central government's steps in amending the Chit Funds Act, 1982, highlighting the transparency the 2019 changes brought to the schemes. He acknowledged improvements in legislative protections for consumers, while emphasizing the scale of deception faced by Odisha's citizens, where around 70 lakh people were affected, losing approximately Rs 4,600 crore.

The Chief Minister further discussed the steps taken by the BJP towards refunding affected investors, including a Rs 300 crore corpus for small depositors who lost up to Rs 10,000. Criticism arose regarding the speed of the refund processes, with the state's opposition voicing dissatisfaction over unmet electoral promises, even as government officials assured continued efforts to rectify this issue.

(With inputs from agencies.)