New Delhi, Mar 6: Vipul Chitalia, the vice president, banking operations of Gitanjali Group of Companies was arrested by the Central Bureau of Investigation (CBI) on Tuesday, hours after detaining him for interrogation in connection to the PNB fraud case..

Chitalia reached Mumbai earlier in the day after concluding his visit to Bangkok. Tipped about his landing at the Mumbai airport, the agency sleuths picked him immediately upon his arrival and took him for interrogation to the CBI's head office in the Bandra Kurla Complex.

CBI sources while speaking to reporters said the agency suspects his key role in the loan fraud case. Heading the banking operations of Gitanjali Group, it is unlikely that Chitalia would not had been a signatory to the applications seeking fraudulent Letter of Undertakings (LoUs) from the Punjab National Bank.

The scandal involving Choksi and his nephew diamantaire Nirav Modi was unearthed in the last week of January, after the PNB filed a case with CBI of financial irregularity to the tune of Rs 280 crore. Preliminary investigation, however, magnified the scale of scam, with latest findings revealing that state-run lender was duped to an amount up to Rs 12,600-crore.

Apart from the CBI probing the loan fraud case, the Enforcement Directorate has also been assigned to investigate the money laundering allegations. In the seizure spree launched by the central agencies against Modi and Choski's related firms and premises, assets worth Rs 6,100 crores have been attached so far.

Taking the first step towards extraditing the fugitive jewelers, the special Prevention of Money Laundering Act (PMLA) court in Mumbai issued non-bailable warrant against Choksi and Modi in the past week.

(The above story first appeared on LatestLY on Mar 06, 2018 05:27 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).