SC refuses to quash probe in MSCB scam case

The Supreme Court today refused to quash investigation in a multi-crore Maharashtra State Cooperative Bank (MSCB) scam case. The court has ordered the police to conduct free and fair probe in the case. 

Nationalist Congress Party (NCP) leader and former Deputy Chief Minister of Maharashtra Ajit Pawar and 69 others had moved apex court challenging Bombay High Court order which had directed FIR to be registered against Ajit Pawar others in 1,000 crore-rupee scam case.

Economic Offences Wing (EOW) of the Mumbai Police had filed, on 26th of August, the FIR against Ajit Pawar and others under Sections 420, 506 409 465, 467 of the Indian Penal Code. The bench said the investigation will proceed ahead uninfluenced by the order and observation of the high



court.

The other accused in the case include Peasants and Workers Party (PWP) leader Jayant Patil and officials from the superseded bank's units in 34 districts in the state. An inspection by the National Bank for Agriculture and Rural Development (NABARD), as well as a charge sheet filed by a quasi-judicial inquiry commission under the Maharashtra Cooperative Societies (MCS) Act, blamed the decisions, actions and inactions of Ajit Pawar and the other accused of the loss.

The NABARD audit report revealed a breach of several banking laws and RBI guidelines by the accused in the distribution of loans to sugar factories and spinning mills and subsequent default on repayment and recovery of such loans.