The special investigation team (SIT) probing the IMA ponzi scam on Friday arrested Assistant Commissioner of Bengaluru North division LC Nagaraj for his alleged involvement in the case.
"The SIT has arrested LC Nagaraj Assistant Commissioner, North in the IMA case, and Competent Authority for IMA, on charges of receiving a bribe amount of Rs 4.5 crore for providing a favorable report," said S Girish Deputy Commissioner of Police (Crime), Bengaluru.
Earlier, the SIT had conducted searches at I Monetary Advisory's (IMA) Tilak Nagar and Yashwantapur branches on June 25.
Enforcement Directorate (ED) had also summoned Karnataka Minister Zameer Ahmed Khan and MLA R Roshan Baig for their alleged links with Mohammad Mansoor Khan, promoter of IMA Jewels and prime accused in the Ponzi scheme case, under investigation for duping 40,000 investors in the state.
IMA has allegedly cheated a large number of investors, mainly Muslims, after promising them impressive return on their deposits.
Founder Mansoor Khan had disappeared last month after sending an audio clip to some investors threatening to commit suicide due to what he alleged was "harassment" by some politicians and goons.
He had released a video on YouTube on June 23, urging police to arrange his return to India so that he could join the probe. Khan, in the video released, promised to fully cooperate in the investigation being conducted by the 11-member SIT and assured to return the investors' money by liquidating the company's assets.
( With inputs from ANI )