The Economic Offences Wing (EOW) late on Monday night arrested 48-year-old businessman Javed Azam in connection with the Rs122 crore scam at New India Co-operative Bank. During the investigation, it was revealed that Javed had received ₹18 crore through one of the arrested accused, Unnathan Arunachalam. Sources confirmed that he will be produced before the court on Tuesday.
Javed Azam, a resident of Kandivali, Mumbai, runs an electrical goods distribution business. Previously, accused Unnathan Arunachalam, who was also in the electrical goods trade, came in contact with Javed. Investigations have revealed that father-son duo Manohar Arunachalam and Unnathan Arunachalam siphoned off Rs33 crore from the scam. In 2019, Hitesh Mehta, the alleged mastermind, had given Rs15 crore to Manohar Arunachalam, followed by another Rs18 crore at his office, which was later handed over to Javed.
A portion of the embezzled amount was allegedly used by Hitesh Mehta to buy a house. Additionally, there is suspicion that ₹70 crore from the scam was given to real estate developer Dharmesh Poun. Despite the fraudulent transactions, former CEO of the bank, Abhimanyu Surender Bhoan, turned a blind eye to the irregularities, leading to his arrest by the Economic Offences Wing.
Further investigations revealed that then-chairman Hiren Bhanu received ₹26 crore, while his wife Gauri Bhanu received ₹2 crore from the misappropriated funds.
Based on a complaint filed by acting Chief Executive Officer Devashri Ghosh, Dadar Police registered a case under BNS Sections 316(5) and 61(2). The EOW had earlier arrested bank's general manager Hitesh Mehta, based on whose statements real estate developer Dharmesh Poun was also taken into custody.
Additionally, former CEO Abhimanyu Bhoan, Manohar Arunachalam, Kapil Dedhia, and Unnathan Arunachalam were arrested in connection with the scam. Meanwhile, Hiren Bhanu and his wife Gauri Bhanu are currently abroad, and authorities have issued a lookout notice against them.
Authorities are now probing further financial transactions and possible involvement of more individuals in the large-scale scam. More arrests are likely as the investigation progresses.