Delhi police arrests IL&FS director in Rs 100 crore cheating case

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New Delhi: The Delhi police have arrested the Managing Director of Infrastructure Leasing & Financial Services Limited’s (IL&FS) Transportation Network in connection with a case of cheating, forgery and criminal misappropriation of about Rs 100 crore.

The police arrested Ramchand Karunakaran after his anticipatory bail was dismissed by the Delhi High Court.

The case was registered against the accused based on a complaint by Ashish Begwani, Director of Enso Infrastructures, who was lured by tall promises to make an investment in IL&FS Rail Ltd.

Begwani invested Rs 170 crore in order to take a 15 per cent stake in the project.

“However, over a period of time, complainant observed that the company is not performing profitably and funds are being misused. It is alleged that bogus contract orders worth Rs 21.88 crore were issued to Silverpoint Infratech Ltd,” the police said in a statement.

It was alleged that directors of the IL&FS Rail Ltd and other officers of the company intentionally siphoned off the funds of the company to the tune of Rs 70 crore causing loss to the investor’s company.

“During the investigation, it is found that accused persons had made payments to several companies without executing any work. Money was routed through several layers of the different shell companies,” the police said.