Startup Odisha: State govt investigates financial irregularities of Startup Odisha

Odisha startup under government scrutiny for ‘financial mishaps’

Bhubaneswar: A probe was summoned to the alleged irregularities IN Startup Odisha by the state government on suspicion financial failure by the previous government. Startup Odisha is the state nodal agency for building a startup and innovation ecosystem.
A committee consisting of a chairman and two members will conduct an inquiry on five aspects. The director of industries will chair the inquiry and two additional or joint secretaries (one each from the department of finance and public enterprises) will be members.
According to MSME DepartmentThe committee will look into financial subsidies to startups within and outside the state, distribution of funds and subsidies to various private institutions, performance of project management consultants, contribution of NPS and EPF by project officers and utilisation of office space by various MNCs. The committee has been asked to submit a report by August 21.
The much-talked-about O-hub (opportunity hub) Startup Odisha building, built at a cost of Rs 350 crore to house various offices, will be one of the prime targets of the investigation as there have been several complaints of misuse of office space.
Recently, MSME Minister Gokulananda Mallik visited O-hub after irregularities were exposed. On July 13, the government drastically curbed the financial powers of Startup Odisha Authority following a decision by the MSME department following the minister’s visit to Ohub, which is a centralised incubation centre aimed at supporting startups.
The MSME department’s notification stated that the financial authority of the executive chairman has been limited to Rs 1 crore and that of the board to Rs 10 crore. After the BJP government came to power, all the guidelines issued by the previous government, including the delegation of financial authority, were revoked, a government official said.
By 2025, Startup Odisha aimed to have 5000 startups by fostering entrepreneurial skills. The BJD government introduced the Odisha Startup Policy in 2016 to provide infrastructure, skills and platform support to startups.
When contacted, BJD spokesperson Lelin Mohanty said if they have the courage, let them inquire and publish the report. “People in Odisha have started saying that there is a government which has no vision or mission as all their exaggerated claims have now been exposed.”

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