The economic offences wing (EOW) of the city police has moved a special court seeking permission for further investigation into the Rs 25,000-crore Maharashtra State Cooperative Bank (MSCB) scam.
Two years ago, it had submitted a C summary report, indicating closure of the case. Special public prosecutor for EOW Ajay Misar filed the plea on Saturday, saying the fresh investigation will take into consideration points raised by the Enforcement Directorate and other protest petitioners after it closed the case (see box). An order is expected on Tuesday.
The EOW submitted it wanted to conduct further investigations on loans to certain sugar mills, specially Jarandeshwar Sahakari Sakhar Karkhana Ltd, linked to former deputy chief minister Ajit Pawar. In August 2019, the Bombay high court had directed the EOW to register an FIR after allegations that loans were granted between 2002 and 2017 to cooperative factories flouting rules and causing losses to the bank. Without naming anyone, the FIR was filed against a former CM, his deputy, ministers and bank directors. Statements of then bank directors, officers and ministers, including former deputy CM Ajit Pawar, who had been a bank director, were recorded. It is alleged that cooperative sugar factories defaulted on payments to MSCB.
The bank, headed by senior politicians, auctioned the sugar mills at throwaway prices, mostly to their relatives, causing huge losses. In 2010, Ajit Pawar was bank director when the Jarandeshwar factory was auctioned to his kin for less than the base price. In 2020, the EOW filed a 95,000-page report, including a C summary report, before a special court. In its C summary report – which indicates the case is filed due to “mistake of facts” or that it amounts to a civil case – the EOW said no cheating or siphoning of funds was found. The police had probed 63 sugar factories and mills. It found the MSCB had obtained all the required sanctions before granting loans to co-operative sector applicants, and Nabard directions and government resolutions were followed as well.
In July 2021, the ED attached the Satara-based Jarandeshwar factory worth over Rs 65 crore. In 2010, it was purchased by Guru Commodity Services Pvt Ltd. A part of the buying funds came from Sparkling Soil Pvt Ltd, a company related to Ajit Pawar and his wife Sunetra. The ED had alleged that Guru Commodity Services is the proxy owner, the mill is actually controlled by Pawar’s Sparkling Soil.The ED has opposed the EOW closure report and challenged it.
