New Delhi, Oct 11 (PTI) The Delhi Police on Friday arrested former Fortis Healthcare promoter Malvinder Singh for allegedly misappropriating funds of Religare Finvest Limited (RFL) and causing losses to the tune of Rs 2,397 crore, officials said.

Malvinder's brother Shivinder Mohan Singh, Sunil Godhwani (58), the former chairman and managing director of Religare Enterprises Limited (REL), Kavi Arora (48) and Anil Saxena, who occupied important positions in REL and RFL, were also arrested earlier by the Economic Offences Wing (EOW) of Delhi Police for allegedly diverting money and investing in other companies, they said.

RFL is a subsidiary of the REL. Shivinder and his elder brother Malvinder were earlier the promoters of REL.

The police had said that a lookout circular ad been issued against Malvinder as he was absconding.

He was detained on the intervening night of Thursday and Friday in Ludhiana and was formally arrested on Friday morning after he was brought here by a team of the Economic Offences Wing, Additional Commissioner of Police (EOW) O P Mishra said.

The EOW had registered an FIR in March after it received a complaint from Manpreet Singh Suri of the RFL against Shivinder, Godhwani and others alleging that loans were taken by them while managing the firm but the money was invested in other companies.

According to police, the complainant stated that the four had absolute control on REL and its subsidiaries.

"They put RFL in poor financial condition by disbursing loans to companies having no financial standing and being controlled by them. The companies to which loans were disbursed willfully defaulted in repayments and caused a loss to RFL to the tune of Rs 2,397 crore," Mishra had alleged.

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