Ex-IL&FS MD, CEO Ramesh Bawa arrested by SFIO
The Serious Fraud Investigation Office (SFIO) has arrested former IL&FS Financial Services Managing Director and CEO Ramesh Bawa in connection with ongoing investigations into irregularities across various group entities, sources said on Saturday.
On April 1, the investigative arm of the Ministry of Corporate Affairs had arrested former Chairman Hari Shankaran. According to a source, both were arrested under section 447 of the Companies Act that empowers the agency to make an arrest for committing fraud.
Bawa was arrested late last night in the national capital after the Supreme Court recently refused to extend relief of granting him bail from arrest. Sankaran is reportedly lodged in Mumbai’s Byculla district jail.Bawa had resigned from his position in September 2018 after a series of defaults by IL&FS which sent tremors in financial markets. IL&FS Financial Services had borrowings of over Rs 17,000 crore from debt instruments and bank loans.