PMC Bank scam: EOW conducts search at Rajneet Singh’s flat

Rajneet Sing

Rajneet Sing  


Holiday court sends the former director to police custody till November 25

A day after Rajneet Singh, a former director with Punjab and Maharashtra Cooperative (PMC) Bank, and son of former BJP MLA Sardar Tara Singh, was arrested in connection with the multicrore scam in the bank, the Economic Offences Wing (EOW) of the city police on Sunday conducted a search at his residence, an official said.

Before the search, Rajneet Singh was produced in a holiday court here, which remanded him in police custody till November 25.

“After producing Mr. Singh in court, a team of four officials took him to his flat in Karmashetra building in Sion Koliwada area and conducted a search there. They were there for over an hour. Mr. Singh’s family members were asked to wait outside the building during the search,” an EOW official said.

“But what has been recovered and seized from the flat is yet to be known,” he added.

With the arrest of Rajneet Singh, total nine people have been arrested in connection with the alleged ₹4,355-crore scam, including three top bank officials and two promoters of Housing Development and Infrastructure Limited (HDIL) group, Rakesh and Sarang Wadhawan, and auditors.

Besides being a director, Mr. Singh was also a member of the loan recovery committee of the bank.

The EOW suspects a nexus between some of the accused and the realty group HDIL, whose mammoth loan defaults are said to have caused a liquidity crisis at the bank, leading to appointment of an administrator by the RBI and restrictions on withdrawal of funds.

On Saturday a Mumbai Police spokesperson had confirmed that Mr. Singh was interrogated on the loan facilities awarded by the bank to the HDIL group as well as efforts made to recover or regularise the said dues.

The EOW had earlier told a sessions court that prima facie a nexus between some of the accused and HDIL group companies has been made out by the investigators who suspected a “deep-rooted conspiracy”.

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Printable version | Dec 14, 2019 1:16:33 PM |

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