NSEL Scam: Two Top Honchos of Defaulting Firms Arrested

Mumbai: Mumbai Police on Tuesday arrested two top honchos of different defaulting companies, which collectively owe over Rs 1,000 crore to the crisis-hit National Spot Exchange Ltd (NSEL).

"Gagan Suri, one of the directors of Yathuri Associates, was apprehended from Chandigarh, while Ranjeev Agarwal, promoter of P D Agro Processors was picked up from Karnal (at Haryana) in connection with the NSEL case," Additional Police Commissioner (EOW) of Mumbai Police Rajvardhan Singh said.

Mr Suri's company owes Rs 424 crore, while Mr Agarwal defaulted about Rs 644 crore to the beleaguered spot exchange, he said, adding that the assets of these two companies have already been attached.

The Economic Offences Wing (EOW) of Mumbai Police, probing the Rs 5,600 crore NSEL scam, has so far attached movable and immovable assets worth nearly Rs 6,000 crore belonging to all the accused.

"The duo (Suri and Agarwal) were evading summons served to them by the investigators, thereby dodging the questioning. Both of them, who were found to be part of the conspiracy that led to the NSEL crisis, will be produced before the court tomorrow," the IPS officer added.

The accused had initially co-operated with the investigators, but later began ignoring calls from the policemen, the officer said.

"In fresh round of questionings, we wanted to know where the accused parked their money, among other things. However, they were avoiding us," he added.

Earlier, EOW sleuths had arrested about 20 accused in this connection, including the spot exchange executives and defaulters in connection with the alleged scam. All of them are now out on bail.

An FIR in the case had been lodged on September 30 last year by the EOW against director Jignesh Shah and others charging them with cheating, forgery, breach of trust and criminal conspiracy, among other offences.

The spot commodity bourse, promoted by Mr Shah-led Financial Technologies India Ltd (FTIL), has been facing problems in settling Rs 5,600 crore dues of 148 member brokers, representing 13,000 investor clients.

Mr Shah had also been arrested and granted bail.