Face of Nation : Malvinder Singh, his brother Shivinder and three others were on Thursday arrested for allegedly misappropriating funds of Religare Finvest Ltd (RFL) and causing it losses of Rs 2,397 crore. The Delhi Police had sought six-day custody for the five accused.
A Delhi court has granted four-day custodial interrogation of former Fortis Healthcare promoters Malvinder Singh, his brother Shivinder and three others in the Religare Finvest Ltd (RFL) case.
Malvinder (46) was arrested on Friday morning while Shivinder (44), Sunil Godhwani (58), the former chairman and managing director of Religare Enterprises Ltd (REL), Kavi Arora (48) and Anil Saxena, who occupied important positions in REL and RFL, were arrested Thursday by the Economic Offences Wing (EOW) of Delhi Police for allegedly diverting money and investing in other companies.
All the accused were produced before Chief Metropolitan Magistrate Deepak Sherawat. The police told the court that their custodial interrogation was necessary as they were allegedly involved in diversion of public money and needs to be tracked.
The counsel representing the accused opposed the Delhi police plea and said their custody was not required as the evidence is documentary. RFL is a subsidiary of the REL. Malvinder and Shivinder were earlier the promoters of REL. The police had said that a look out circular (LOC) had been issued against Malvinder as he was absconding.
He was detained on the intervening night of Thursday and Friday in Ludhiana and was formally arrested on Friday morning after he was brought here by the EOW team, Additional Commissioner of Police (EOW) O P Mishra earlier told reporters.
The EOW had registered an FIR in March after it received a complaint from Manpreet Singh Suri of the RFL against Shivinder, Godhwani and others alleging that loans were taken by them while managing the firm but the money was invested in other companies. According to the police, the complainant stated that the four had absolute control on REL and its subsidiaries.
“They put RFL in poor financial condition by disbursing loans to companies having no financial standing and being controlled by them. The companies to which loans were disbursed willfully defaulted in repayments and caused a loss to RFL to the tune of Rs 2,397 crore,” Mishra had alleged.
