The Enforcement Directorate has alleged that the group had suppressed the fact that securities pledged for raising bank loans belonged to its customers.
The Enforcement Directorate (ED) on Thursday, January 27, said that they have arrested C Parthasarathy, Chairman and MD, and G Hari Krishna, CFO, of the Karvy Group in connection with the Rs 2,000 crore security scam. Both Parthasarathy and G Hari have been remanded to four days ED Custody by the concerned court.
“Comandur Parthasarathy, the Chairman and Managing Director of Karvy Stock Broking Limited (KSBL), and G Hari, the Chief Financial Officer of the company will now be confronted with each other. They will also be confronted with a number of documents seized by the ED,” said a senior ED official.
The agency had earlier got a five day custody of Parthasarathy. He was at that time lodged at Bengaluru jail and was shifted to Chanchalguda jail on a prisoner transit warrant.
Initially, the Hyderabad Central Crime Station (CCS) police lodged five cases against him and the firm. IndusInd Bank and HDFC Bank had alleged that the KSBL committed loan fraud by pledging the securities of its client and diverting the loan amount. The ED initiated a money laundering probe on the basis of the FIRs by Hyderabad Police.
The Hyderabad CCS police had filed a charge sheet in the matter. The ED after initiating a PMLA probe, took a copy of the charge sheet and other relevant documents to probe the money laundering case. The ED also took…
