Chennai: Chennai enforcement directorate on Tuesday arrested Vendhar movies S. Madhan after grilling him for hours in connection with a case registered against him under the prevention of money laundering Act (PMLA) him last month.
Madhan was allegedly involved in collection of Rs 91 crore cash on behalf of SRM medical college from aspirants to join medical college.
“We registered a case against him in April. He was questioned many times. Even SRM group chairman T.R. Pachamuthu was summoned by us to take statement from him. As many as 133 medical college seat aspirants had given Madhan '91 crore.
We are trying to find out what happened to the money and probing how he had laundered the amount,” an ED official told this newspaper on Tuesday.
Later in the evening Madhan was remanded to judicial custody and lodged in Puzhal prison.
Madhan was on bail after being lodged in Puzhal prison for nearly four months following his arrest on November 21 by Chennai CCB team when he was traced to his friend's house in Tirupur at the near end of his six month escapade.
Madhan was arrested by CCB in November based on the complaint from Dr Jayachandran. Police have registered a case under the IPC Sections 406 (criminal breach of trust), 34 (acts done by several persons in furtherance of common intention) and 420 (cheating). The SRM Group of institutions is also named as an accused in the case.
On May 28, after Madhan ‘went missing’ and Madhan’s wife Sumalatha and other family members told media that the SRM group was behind Madhan's disappearance.
Following his disappearance, medical-seat aspirants who had paid money to Madhan, began lodging complaints with the police resulting in the probe of a multi-crore medical seat scam. The probe led to the arrest of Pachamuthu in August and the court enlarged him on bail in September.
