Ex-MD of PMC Bank remanded to Mumbai Police custody for 2 weeks

The police told the court that Thomas was one of those allegedly involved in the conspiracy that led to the Rs 4,355-crore scam at the bank and they needed his custody to interrogate him about other aspects of the crime.

In the remand copy seeking the custody of Thomas, the EOW argued that the accused was a key managerial person of PMC Bank and played active role in commission of offences.

Hence his custodial interrogation is necessary to find out details of alleged disbursement of loans to HDIL Group.

The EOW further argued that PMC Bank had lent various credit facilities to HDIL Group of companies, most of which allegedly were guided/committed by Thomas.

EOW argued funds availed by HDIL from PMC have not been utilised for designated purpose of borrowings.

“Accused Mr Joy Thomas had deliberately kept it undisclosed for too long a duration of three years which concludes to be a deliberate act to benefit,” the agency argued.

The police further submitted that his custody was necessary to find out the modus operandi of the fraud with regards to false records submitted to the Reserve Bank of India (RBI).

Rakesh and Sarang Wadhawan, promoters of HDIL, are currently in police custody.

On Monday, police had registered an FIR against Rakesh Wadhawan, executive chairman of HDIL; Sarang Wadhawan, vice chairman and managing director of HDIL; Joy Thomas, former managing director of PMC Bank; Waryam Singh, former chairman of PMC Bank; and unidentified employees of the bank and HDIL.

On Saturday night, the EOW arrested Singh in connection with the alleged PMC Bank scam, taking the total number of persons arrested in the case so far to four.

In the FIR, police said the actions of the accused allegedly led to bank losses totalling Rs 4,355.46 crore.

Police had first registered an offence on a complaint from the Reserve Bank following the collapse of PMC Bank.

The central regulator had stepped in and placed restrictions on withdrawals after the crisis at the bank came to light last week owing mainly to massive non-performing assets (NPA) that were under-reported.