Mumbai: The Economic Offences Wing (EOW) of Mumbai Police on Monday arrested two auditors-- Jayesh Dhirajlal Sanghani and Ketan Pravinchand Lakdawala in connection to the Rs 4,355 crore scam of Punjab and Maharashtra Cooperative (PMC) Bank.
Police said, it was revealed during investigation, the accused duo, who had served as statutory auditors during the peak period of fraud in PMC Bank had played a pivotal role to cover up the scam.
According to police, the companies-- M/s. Ashok Jayesh & Associates and M/s. Lakdawala & co. had served as the statutory auditors during the period when the fraud was being committed.
As a part of the investigation, officials from EOW had called the owners of these companies-- Sanghani and Lakdawala, for questioning. During the probe, it came to light that both of these men could not provide convincing explanation regarding the role as statutory auditors of PMC Bank.
On the basis of this information, police arrested the duo on Monday evening and booked them under relevant sections of the Indian Penal Code. The duo will be produced in Esplanade court on Monday.
The EOW believes, prima facie a nexus between some of the accused and HDIL group companies has been made out by the agency. It said the deep-rooted conspiracy caused loss of public funds.
The EOW so far arrested five people, including promoters of realty group HDIL and top bank officials, in connection with the case. Till now, at least six people have lost their lives due to loss of money and the public is protesting over the irregularities