Bhubaneswar: The economic offences wing (EOW) of the state crime branch on Monday arrested a businessman who allegedly swindled investors of over Rs 5 crore during the Covid-19 pandemic in 2020-21 by offering to double their investments within 10 months.
The accused, Dhanajaya Sahoo (45), hailing from Bhandaripokhari area in Bhadrak district, splurged the investors' money on leisure trips to Germany, Dubai and Thailand, EOW officers said.
EOW authorities traced Sahoo to Khairatabad, Hyderabad, where he was hiding to evade arrest. After he was produced before the first additional chief judicial magistrate's court in Nampally (Hyderabad), he was brought here on transit remand.
The arrest followed a complaint lodged on Jan 31 this year by Gobinda Sahoo from Jajpur district, who invested a substantial amount in the company. Gobinda approached the EOW after waiting several years when Sahoo failed to to return the money.

EOW's investigation revealed that the accused accumulated over Rs 5 crore from approximately 200 individuals across Khurda, Cuttack, Jajpur, Keonjhar and Mayurbhanj districts during the pandemic.
EOW's SP, Dillip Kumar Tripathy, said, "The accused floated several companies between 2011 and 2021. In 2020, he floated another company and opened its office near Chintamaniswar Temple in Bhubaneswar's Laxmisagar area, luring people to invest in the firm. He promised hefty returns on their deposits."
In early 2022, the accused closed his office and became unreachable to investors after collecting roughly Rs 5 crore. He assured repayment to those who managed to contact him and threatened investors with complete loss if they reported the matter to the police.
"We found that he was soliciting deposits from the investors, giving the impression that the amount will be invested in profit-making real estate market, e-commerce and online gaming platforms," Tripathy said.
Sahoo's targets were primarily middle-class families and retirees, whom he persuaded with promises of unrealistic returns. Numerous individuals, including the complainant Gobinda, invested their money. Sahoo initially provided good returns to gain investor confidence, encouraging larger investments.
"We are looking for some others linked to the scam. If required, we will take Sahoo on police remand for interrogation," Triptahy said.