Bengaluru:The Karnataka High Court on Friday ordered the state government to confiscate the properties of former minister Roshan Baig, who is an accused in the IMA ponzi scam, under the provisions of the Karnataka Protection of Interest of Depositors in Financial Establishments (KPIDE) Act. Expressing its displeasure over the government's delay in the confiscation of Baig's properties, a division bench of Chief Justice Abhay Shreeniwas Oka and Justice Suraj Govindaraj granted the government two weeks to take a decision on the matter.
Earlier in March this year, the High Court had ordered the state government to confiscate Baig's properties but it failed to do so citing Covid-induced lockdown.
What is IMA ponzi scam?
The IMA scam involves unauthorised deposits raised to the tune of Rs 4,000 crore from around one lakh investors, and these funds diverted to Baig so that the firm could continue its illegal activities. Since the CBI took over this case, it has registered four cases and filed three charge sheets and three supplementary charge sheets against 33 accused including IMA Managing Director and CEO Mansoor Khan and its directors, several private persons, revenue and police officials.