Court sends BPSL's ex-chairman to ED custody in bank fraud case

A Special court on Saturday sent Sanjay Singal, former chief managing director (CMD) of Bhushan Power and Steel Limited, to seven-days in Enforcement Directorate's (ED) remand, in connection with bank loan fraud case.

Special CBI Judge Illa Rawat allowed him to take his spectacles, prescribed medicines, and mattress for the remand period.

"I am not allowing the food application as I am sure that they will take good care of it," the court ordered.

The ED had arrested Singal under the Prevention of Money Laundering (PMLA) Act on Friday. He was produced before the court today.

During the course of proceedings, advocates Nitesh Rana and AR Aditya, representing the ED, told the court that the accused did not cooperate with the agency during questioning. They said that Singal was evasive and gave misleading replies to their questions.

Advocates representing Singal, advocate Siddharth Aggarwal, Ranjana Roy, and Arshdeep Singh, strongly opposed the contentions made by the probe agency and said that the grounds cited by it to seek his custody were "factually incorrect".

The ED had recently attached assets worth Rs 4,025 crore of Bhushan Power and Steel Ltd (BPSL).

"BPSL had used various modus operandi to siphon funds obtained as loans from various banks/financial institutions," the ED said in an official statement.