BHUBANESWAR: The economic offences wing (EOW) of the state Crime Branch on Thursday arrested BJD youth wing’s vice-president and influential leader in Keojhar district, Soumya Sankar Chakra, also known as Raja, for his alleged involvement in a multi-crore mineral transportation fraud. Following the rejection of his anticipatory bail plea by the Orissa high court on Wednesday, the EOW took him into custody on Thursday morning for questioning.
“Significant financial irregularities were discovered in Gandhamardan Loading Agency and Transporting Cooperative Society Limited. Although Chakra held no official position, he controlled the society through his associates Sadashiv Samal, Sudhansu Shekhar Naik, and Samir Jena,” director general (Crime Branch) Vinaytosh Mishra said.
Investigations revealed the loading agency earned about Rs 185 crores between 2017-18 and March 2024. Rs 34 crore was withdrawn for Gandhamardan mines peripheral development, but no work was executed. Additionally, Rs 9.1 crores was paid to a fuel station that supplied fuel to Chakra’s vehicles rather than the cooperative society, EOW sources said.
“The society distributed Rs 33 crore to local villagers supporting Chakra. Rs 74 crore was recorded as mineral loading charges and labour payment, with significant discrepancies in muster rolls and vouchers. The society has not undergone auditing since 2012-13,” Mishra said.
EOW sources stated that Chakra established multiple companies including Sankar Mineral, Sankar Transporting, Shankar Roadways, and Sankar Project. The police authorities have seized 42 of his vehicles and frozen bank accounts containing nearly 25 lakhs.
On February 8, the EOW arrested the society’s former President Manas Ranjan Barik and Secretary Utkal Das in connection with the fraud. Some more suspects involved in the scam are likely to be arrested soon.
The cooperative society manages iron ore loading for state-owned Odisha Mining Corporation (OMC). Officials allegedly created false records for various expenses between 2017-18 and 2023-24.
“The society charged Rs 60 per tonne for iron ore loading, notably higher than other agencies, generating significant profits. These funds were misappropriated through undocumented payments to various parties, lacking proper tenders, work orders, or vouchers. Chakra is believed to be the primary orchestrator,” an EOW official revealed.