PMC Bank scam: EOW conducts search at Rajneet Singh's flat

Mumbai, Nov 17 (PTI) A day after Rajneet Singh, son offormer BJP MLA Sardar Tara Singh, was arrested in connectionwith the Punjab and Maharashtra Cooperative (PMC) Bank scam,the Economic Offences Wing (EOW) of the city police on Sundayconducted a search at his residence here, an official said.

Before the search, Rajneet Singh, who is a director ofthe scam-hit bank, was produced before a court here, whichremanded him in police custody till November 25.

'After producing Singh in the court, a team of aroundfour officials took him to his flat in Karmashetra Building inSion Koliwada area and conducted a search there. They werethere for over an hour. Singh's family members were asked towait outside the building during the search,' an EOW officialsaid.

'But what has been recovered and seized from the flatis yet to be known,' he added.

With the arrest of Rajneet Singh, total nine personshave been arrested in connection with the alleged Rs 4355-crore scam, including three top bank officials and twopromoters of HDIL --Rakesh and Sarang Wadhawan, and auditors.

Besides being a director, Rajneet Singh is a member ofthe loan recovery committee of the bank.

The EOW suspects a nexus between some of the accusedand the realty group HDIL, whose mammoth loan defaults aresaid to have caused a liquidity crisis at the bank, leading toappointment of an administrator by the RBI and restrictions onwithdrawal of funds.

The EOW had earlier told a sessions court that primafacie a nexus between some of the accused and HDIL groupcompanies has been made out by the investigators who suspecteda 'deep-rooted conspiracy'. PTI ZANP NP