Orissa HC Grants Bail To Loan Fraud Accused, Orders Her To Clean Bank Branch

Cuttack: In a restorative judicial measure, the Orissa High Court granted bail to a woman accused of loan fraud on the condition that she has to clean the premises of a bank branch for two hours every day for two months.

The order was passed on Tuesday by a vacation bench of Justice SK Panigrahi. The accused, identified as Manogyan Patnaik, a resident of Cuttack, was arrested on February 5 by the Economic Offences Wing (EOW) of the Odisha Crime Branch. According to the prosecution, she had fraudulently availed loans from both ICICI Bank and Indian Bank by pledging the same residential property multiple times.

It is further alleged that she subsequently sold the mortgaged property to a third party, who in turn secured a loan on it through an internal balance transfer. The case reflects a complex web of fraudulent financial activity involving multiple financial institutions under the Odisha Protection of Interest of Depositors (Financial Establishment) Act of 2011.

While granting her bail, the High Court refrained from delving into the merits of the ongoing investigation. Instead, Justice Panigrahi focused on ensuring that the accused remained under watch and performed a socially constructive task as part of her conditional release.

As per the order, Patnaik must report to the ICICI Bank's Link Road Branch here every morning and clean the premises from 8 am to 10 am for a period of two months. "The petitioner shall approach the ICICI Bank and clean the bank premises," the HC directed.

It further cautioned that any violation of the prescribed bail conditions including involvement in fresh criminal activity or tampering with evidence would lead to immediate cancellation of her bail. In addition to the condition, the HC also imposed routine bail stipulations and left further terms to the discretion of the trial court. To ensure compliance, the High Court instructed the local police to coordinate with the bank authorities and closely monitor whether the petitioner adheres to the conditions laid out in the bail order.