The Enforcement Directorate (ED) has actually apprehended the previous handling supervisor of the scam-hit Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation.
A very positioned ED resource verified to DH that JG Padmanabha, the previous MD of the KMVSTDC, and Etakari Satyanarayana, the chairman of First Finance Credit Co-Operative Society Limited, had actually been nabbed. The 2 males were formerly apprehended by the Karnataka Police’s Special Investigation Team (SIT) and were lodged in the Bengaluru Central Prison.
On Friday, the ED got a body warrant from the court and created Satyanarayana and Padmanabha prior to a magistrate. The company has actually protected their custodianship up until August 29.
According to the ED resource, both suspects played a “crucial” function in funds misappropriation by opening up various savings account to move the swiped cash.
“A preliminary probe has revealed that these two played a major role in siphoning off the corporation’s funds. The misappropriated money was sent to multiple bank accounts, opened by these two suspects,” the source told DH.
The source added that all these accounts were opened in Hyderabad without proper Know Your Customer (KYC) verification.
The ED’s FIR lists Satyanarayana as accused number three and JG Padmanabha as accused number four.
Earlier, the ED arrested former state minister B Nagendra in connection with the scam after raiding over 20 places in Bengaluru and Raichur.
According to the ED, the misappropriated funds were used to purchase a significant quantity of liquor just before the 2024 Lok Sabha elections.
What is the rip-off?
The rip-off entailed the misappropriation of Rs 89.62 crore coming from the firm. It emerged after the firm’s accounts superintendent, Chandrashekhar, passed away by self-destruction on May 26 at his Shivamogga home.
The SIT has actually sent a fee sheet in case and has actually provided Nagendra a tidy tab.
Published 23 August 2024, 23:29 IST
