The Economic Offences Wing (EOW) of the Mumbai Police on Saturday arrested Wariyam Singh, the former chairman of the Punjab and Maharashtra Cooperative (PMC) Bank.
An FIR was registered by the EOW on Monday against officials of the bank and the Housing Development and Infrastructure Limited (HDIL) group for allegedly causing losses of ₹4,355 crore to the PMC Bank. The bank is alleged to have issued massive unsecured amounts to the HDIL group as loans and covered up the same in its records, leading to the Reserve Bank of India placing restrictions on the amount of money customers could withdraw every day.
According to EOW officers, Mr. Singh, who had been untraceable since Friday, was picked up from near Mahim church on Saturday evening.
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“Mr. Singh was picked up on the basis of a tip-off regarding his whereabouts and brought to the EOW office. After inquiries established his prima facie involvement in the offence, he was placed under arrest,” a senior EOW officer said.
Mr. Singh is the fourth accused to be arrested in the case. The police had earlier arrested HDIL promoters Rakesh and Sarang Wadhawan and PMC Bank managing director Joy Thomas, all of whom are currently in police custody.
Meanwhile, the Enforcement Directorate, which has also registered a separate offence in connection with the matter, attached several assets belonging to the accused on Saturday.
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“A private jet belonging to the Wadhawans and jewellery worth ₹60 crore linked to them has been attached. We have also frozen ₹10 crore in cash and fixed deposit accounts belonging to Mr. Thomas,” an ED officer said.