Former Managing Director and CEO of IL&FS Financial Services (IFIN), Ramesh Bawa was arrested by the Serious Fraud Investigation Office (SFIO) on late Friday night in connection with ongoing investigations into irregularities across various group entities.
This arrest comes after the Supreme Court refused to extend him protection from being apprehended. Earlier this month, the SFIO had arrested the former Chairman Hari Sankaran for fraud.
Recently, in a press conference, the IL&FS board had said that IFIN has a total exposure of Rs 18,800 crore, of which Rs 10,700 crore is to external companies and the rest to group companies.
Bawa has 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 borrowing of over Rs 17,000 crore from debt instruments and bank loans.