A Delhi district court on Tuesday extended the police custody of former Ranbaxy promoters Malvinder Singh and Shivinder Singh to two more days in the case filed by Religare FinVest Limited (RFL) - an arm of Religare Enterprises (REL), for allegedly causing wrongful loss worth ₹2,397 crore.
Former Religare Enterprises Ltd. chairman and managing director Sunil Godhwani, has also been sent to two days police custody of Economic Offences Wing (EOW) of the Delhi Police. The other accused persons, Kavi Arora and Anil Saxena, who occupied important positions in REL and RFL, have been sent to 2 days judicial remand.
All the accused persons were produced before the Chief Metropolitan Magistrate (CMM) Deepak Sherawat of the Saket district court in the afternoon.
The CMM extended the custody when the police told the court that some new information has come out during custodial interrogation of the accused persons and further interrogation is necessary to uncover the truth and procure evidence.
On 11 October the Delhi district court had sent the five accused persons to four days police custody for questioning in a case of alleged diversion of funds from Religare Finvest Ltd (RFL) to other companies controlled by them.
The brothers, former promoters of Ranbaxy Laboratories Ltd, were arrested across Thursday and Friday last week after Religare Finvest Ltd (RFL), an arm of Religare Enterprises Ltd (REL), alleged “wrongful loss" worth ₹2,397 crore.
The arrests were made based on a complaint filed by Religare Finvest in December, when it alleged that the Singh brothers and others misappropriated funds of the company to the tune of ₹740 crore through loans to entities that were related to them or their associates. In December, Religare Enterprises and its subsidiary made another complaint to the corporate affairs ministry alleging misappropriation of funds worth ₹2,230 crore of the company and its units. The complaint also alleged that illegal issuances and redemption of preference shares led to undue gains of approximately ₹290 crore to promoter groups.