The Serious Fraud Investigation Office (SFIO) on Monday arrested former vice chairman of crisis-hit IL&amp;FS for fraudulent conduct and causing wrongful loss to the company and its creditors, official sources said.

This is the first arrest made by the probe agency in the IL&amp;FS case.&nbsp;

Sankaran was arrested in Mumbai in connection with the ongoing investigations into the affairs of IL&amp;FS and its group entities.

Sources said Sankaran has been arrested on the grounds of abusing his powers in IL&amp;FS Financial Services Ltd through fraudulent conduct and in granting loans to entities that were not credit-worthy or were declared as non-performing accounts. Such actions caused wrongful loss to the company and its creditors, they added.

The agency has been granted custody of Sankaran till April 4.

IL&amp;FS Financial Services had borrowings of more than Rs 17,000 crore through debt instruments and bank loans. Provident funds, pension funds, gratuity funds, mutual funds, public and private sector banks, are among those who have invested in these debt instruments, the sources said.

The alleged financial irregularities at the IL&amp;FS came to light last year after some group entities defaulted on debt repayments. The government, which superseded the company's board, is working on a resolution plan.

The Serious Fraud Investigation Office (SFIO) on Monday arrested former vice chairman of crisis-hit IL&FS for fraudulent conduct and causing wrongful loss to the company and its creditors, official sources said.

The Serious Fraud Investigation Office (SFIO) on Monday arrested former vice chairman of crisis-hit IL&FS for fraudulent conduct and causing wrongful loss to the company and its creditors, official sources said. This is the first arrest made by the probe agency in the IL&FS case. Sankaran was arrested in Mumbai in connection with the ongoing investigations into the affairs of IL&FS and its group entities. Sources said Sankaran has been arrested on the grounds of abusing his powers in IL&FS Financial Services Ltd through fraudulent conduct and in granting loans to entities that were not credit-worthy or were declared as non-performing accounts. Such actions caused wrongful loss to the company and its creditors, they added. The agency has been granted custody of Sankaran till April 4. IL&FS Financial Services had borrowings of more than Rs 17,000 crore through debt instruments and bank loans. Provident funds, pension funds, gratuity funds, mutual funds, public and private sector banks, are among those who have invested in these debt instruments, the sources said. The alleged financial irregularities at the IL&FS came to light last year after some group entities defaulted on debt repayments. The government, which superseded the company's board, is working on a resolution plan.

First arrest in IL&FS case, former vice chairman Sankaran in SFIO custody

ICICI Bank chief Chanda Kochhar and Axis Bank chief Shikha Sharma have been summoned by the&nbsp;Serious Fraud Investigation Office (SFIO) in connection with the over Rs 13,000-crore PNB scam.&nbsp;

ICICI Bank had led a consortium of 31 banks which had lent Mehul Choksi&#39;s Gitanjali Gems Rs 1,000 crore. Choksi is <a href="http://www.wionews.com/india-news/who-is-nirav-modi-the-billionaire-jeweller-at-centre-of-rs-11000-crore-scam-32970" target="_blank">Nirav Modi&#39;s</a> uncle and partner.&nbsp;

Also read: <a href="http://www.wionews.com/india-news/pnb-scam-rahul-gandhi-questions-pm-modis-silence-says-ek-nirav-modi-hai-dusra-modi-nirav-hai-34878" target="_blank">Rahul Gandhi questions PM Modi&#39;s silence, says &#39;</a><a href="http://www.wionews.com/india-news/pnb-scam-rahul-gandhi-questions-pm-modis-silence-says-ek-nirav-modi-hai-dusra-modi-nirav-hai-34878" target="_blank">ek</a><a href="http://www.wionews.com/india-news/pnb-scam-rahul-gandhi-questions-pm-modis-silence-says-ek-nirav-modi-hai-dusra-modi-nirav-hai-34878" target="_blank"> Nirav Modi Hai, </a><a href="http://www.wionews.com/india-news/pnb-scam-rahul-gandhi-questions-pm-modis-silence-says-ek-nirav-modi-hai-dusra-modi-nirav-hai-34878" target="_blank">dusra</a><a href="http://www.wionews.com/india-news/pnb-scam-rahul-gandhi-questions-pm-modis-silence-says-ek-nirav-modi-hai-dusra-modi-nirav-hai-34878" target="_blank"> Modi </a><a href="http://www.wionews.com/india-news/pnb-scam-rahul-gandhi-questions-pm-modis-silence-says-ek-nirav-modi-hai-dusra-modi-nirav-hai-34878" target="_blank">nirav</a><a href="http://www.wionews.com/india-news/pnb-scam-rahul-gandhi-questions-pm-modis-silence-says-ek-nirav-modi-hai-dusra-modi-nirav-hai-34878" target="_blank"> hai&#39;</a>

PTI reported that the SFIO has asked the heads of all 31 banks to come in for questioning. Kochhar, Sharma and the other bank chiefs are expected to be questioned at the SFIO&#39;s headquarters in Mumbai.&nbsp;

Kochar and Sharma will be questioned about the loans their banks made to Modi and Choksi but, news reports said, they are not being seen as suspects in the scam. &nbsp;

The PNB scam is being investigated by a slew of agencies including the CBI, the Enforcement Directorate and the SFIO.&nbsp;

The scam was first reported from a Mumbai branch of the Punjab National Bank.&nbsp;

It is alleged that PNB officials colluded with Modi and others to issue them Letters of Understanding (LoUs), basically bank guarantees. It was on those LoUs that Modi and Choksi got their bank loans.&nbsp;

ICICI Bank had led a consortium of 31 banks that had lent Rs 1,000 crore to Mehul Choksi's Gitanjali Gems

ICICI Bank chief Chanda Kochhar and Axis Bank chief Shikha Sharma have been summoned by the Serious Fraud Investigation Office (SFIO) in connection with the over Rs 13,000-crore PNB scam. ICICI Bank had led a consortium of 31 banks which had lent Mehul Choksi's Gitanjali Gems Rs 1,000 crore. Choksi is Nirav Modi's uncle and partner. Also read: Rahul Gandhi questions PM Modi's silence, says 'ek Nirav Modi Hai, dusra Modi nirav hai' PTI reported that the SFIO has asked the heads of all 31 banks to come in for questioning. Kochhar, Sharma and the other bank chiefs are expected to be questioned at the SFIO's headquarters in Mumbai. Kochar and Sharma will be questioned about the loans their banks made to Modi and Choksi but, news reports said, they are not being seen as suspects in the scam. The PNB scam is being investigated by a slew of agencies including the CBI, the Enforcement Directorate and the SFIO. The scam was first reported from a Mumbai branch of the Punjab National Bank. It is alleged that PNB officials colluded with Modi and others to issue them Letters of Understanding (LoUs), basically bank guarantees. It was on those LoUs that Modi and Choksi got their bank loans.

PNB scam: ICICI's Chanda Kochhar, Axis Bank's Shikha Sharma summoned by Serious Fraud Investigation Office

<a href="http://www.wionews.com/india-news/inx-media-case-karti-chidambarams-cbi-custody-extended-by-3-days-34895" target="_blank">INX Media case: CBI custody of Karti Chidambaram extended by 3 days</a>

A special CBI Court on Tuesday extended the agency&#39;s custody of Karti Chidambaram by three more days in the infamous INX Media case, after his previous five-day custody expired today.

<a href="http://www.wionews.com/world/no-need-for-nuclear-weapons-if-we-have-security-guarantee-north-korea-34896" target="_blank">No need for nuclear weapons if we have security guarantee: North Korea</a>

North Korea is open to denuclearisation if the safety of Kim Jong Un&rsquo;s regime is guaranteed, a South Korean official said Tuesday.

<a href="http://www.wionews.com/south-asia/sri-lanka-imposes-10-day-emergency-in-kandy-due-to-communal-tension-34868" target="_blank">Sri Lanka declares </a><a href="http://www.wionews.com/south-asia/sri-lanka-imposes-10-day-emergency-in-kandy-due-to-communal-tension-34868" target="_blank">emergency</a><a href="http://www.wionews.com/south-asia/sri-lanka-imposes-10-day-emergency-in-kandy-due-to-communal-tension-34868" target="_blank"> to quell Buddhist-Muslim riots, curfew imposed in Kandy</a>

Sri Lanka declared a nationwide state of emergency for 10 days on Tuesday to stop the spread of communal violence, a government spokesman said, after clashes erupted between majority Buddhists and members of the minority Muslim community.

<a href="http://www.wionews.com/india-news/neiphiu-rio-appointed-nagaland-chief-minister-by-governor-pb-acharya-34900" target="_blank">Neiphiu Rio appointed </a><a href="http://www.wionews.com/india-news/neiphiu-rio-appointed-nagaland-chief-minister-by-governor-pb-acharya-34900" target="_blank">c</a><a href="http://www.wionews.com/india-news/neiphiu-rio-appointed-nagaland-chief-minister-by-governor-pb-acharya-34900" target="_blank">hief</a><a href="http://www.wionews.com/india-news/neiphiu-rio-appointed-nagaland-chief-minister-by-governor-pb-acharya-34900" target="_blank"> minister of Nagaland</a>

Nagaland Governor PB Acharya has appointed Neiphiu Rio as chief minister under clause (1) of Article 164 of the Constitution.&nbsp;

<a href="http://www.wionews.com/india-news/pnb-scam-icicis-chanda-kochhar-axis-banks-shikha-sharma-summoned-by-sfio-34893" target="_blank">PNB scam: ICICI&#39;s Chanda Kochhar, Axis Bank&#39;s Shikha Sharma summoned by Serious Fraud Investigation Office</a>

ICICI Bank chief Chanda Kochhar and Axis Bank chief Shikha Sharma have been summoned by the Serious Fraud Investigation Office (SFIO) in connection with the over Rs 13,000-crore PNB scam.&nbsp;

INX Media case: CBI custody of Karti Chidambaram extended by 3 days A special CBI Court on Tuesday extended the agency's custody of Karti Chidambaram by three more days in the infamous INX Media case, after his previous five-day custody expired today. No need for nuclear weapons if we have security guarantee: North Korea North Korea is open to denuclearisation if the safety of Kim Jong Un’s regime is guaranteed, a South Korean official said Tuesday. Sri Lanka declares emergency to quell Buddhist-Muslim riots, curfew imposed in Kandy Sri Lanka declared a nationwide state of emergency for 10 days on Tuesday to stop the spread of communal violence, a government spokesman said, after clashes erupted between majority Buddhists and members of the minority Muslim community. Neiphiu Rio appointed chief minister of Nagaland Nagaland Governor PB Acharya has appointed Neiphiu Rio as chief minister under clause (1) of Article 164 of the Constitution. PNB scam: ICICI's Chanda Kochhar, Axis Bank's Shikha Sharma summoned by Serious Fraud Investigation Office ICICI Bank chief Chanda Kochhar and Axis Bank chief Shikha Sharma have been summoned by the Serious Fraud Investigation Office (SFIO) in connection with the over Rs 13,000-crore PNB scam.

WION Evening News Brief, March 6, 2018

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