The beach-side sprawling hotel located adjacent to Raj Bhawan in Puri and spread across a six-acre patch of prime land had become functional in 1988 and was later shut in 2005 due to recurring loss-making. The centre plans to restore it through public-private partnership (PPP) mode.
The EOW had later taken up the investigation after Patitapabana Biswal, one of the 542 investors, had lodged a complaint. Rs 55.20 lakh bank balance besides 3.20 decimal of land owned by the bogus companies was later attached.
The mobile handset used for manufacturing of E-cheque was seized along with other incriminating articles. Of the siphoned amount of Rs.5 crore, an amount of Rs.3.30 crores has been freezed by the EOW sleuths.
