One more arrest in New India Cooperative Bank scam

Ulhanathan Arunachalam

The Economic Offences Wing (EOW) has arrested Ulhanathan Arunachalam, a key accused in the New India Cooperative Bank scam, from the Crawford Market area. Arunachalam had been absconding since the Rs 122 crore embezzlement case came to light.

According to EOW officials, Arunachalam allegedly received Rs 40 crore from the misappropriated funds. During interrogation, the main accused, Hitesh Mehta, revealed that he had handed over Rs 40 crore in cash to Arunachalam.

Earlier, Arunachalam's son, Manohar Arunachalam, was arrested by the EOW for assisting his father in evading arrest and for allegedly receiving Rs 15 crore from him. The EOW had declared Ulhanathan Arunachalam absconding and announced a reward for information leading to his capture.

He was finally apprehended near Crawford Market yesterday and produced before the court today. This marks the sixth arrest in the case.

Arunachalam was on Sunday produced before the Esplanade Court in Mumbai that remanded him to police custody till March 18.

- with inputs from Apoorva Agashe