July 20 (AZINS) A special Prevention of Money Laundering Act (PMLA) court in Bengaluru on Saturday sent Mohammad Mansoor Khan, prime accused in the multi-crore IMA ponzi scam, to the custody of Enforcement Directorate (ED) till July 23.

The ED on Saturday brought Khan, the owner of IMA jewels, to Bengaluru to probe the alleged ponzi scam. He was be produced before a special PMLA court in Bengaluru which granted the ED three-day custody. 

Khan was arrested in New Delhi by the ED on Friday after he flew back from flew back to India from Dubai. 

The ED said in a statement that Khan, who had fled to Dubai, flew back to India and was arrested on landing in Delhi. It said that its sources in Dubai persuaded him to come back and submit himself before the law.

After producing him before a local court in Delhi which granted ED a transit remand of Khan, he was brought to Bengaluru where he was being interrogated at the ED office.

A lookout circular was issued against him by both SIT and ED and he would be handed over according to procedure, the SIT said.

More than one lakh people had invested in the IMA Jewels which started 17 companies. Khan invited people, mostly Muslims, to invest in five companies, said the SIT, adding that Rs 4,084 crore was invested in the company.

He has to refund approximately Rs 1,400 crore to his investors, the SIT said.

Around one and half months ago, Khan had fled to Dubai leaving thousands of investors in lurch.

Khan had promised them that he would return to India and refund their money.

Based on thousands of complaints, the SIT registered a case against him and others. It has so far arrested 22 people, including Khan, 12 directors of the firm, deputy commissioner of Bengaluru urban district Vijay Shankar, assistant commissioner L C Nagaraj, a Bangalore Development Authority officer, a nominated corporator of Bruhat Bengaluru Mahanagara Palike and a village accountant.

Before fleeing he had accused Shivajinagar Congress MLA R Roshan Baig of taking Rs 400 crore and not returning it.

Baig categorically refuted the charge, terming it false and frivolous. The MLA who had rebelled against the party was suspended for anti-party activities.

Baig then joined the bandwagon of rebel MLAs who resigned.

The SIT had served him a notice to depose before it on July 15, but he sought time till July 26. The SIT then asked him to be present before it on July 19.

The day Baig was supposed to appear before SIT, he planned to fly to Mumbai by a special chartered plane but the SIT detained him and quizzed him extensively.

The SIT released Baig and asked him to appear on July 19. 

(With PTI inputs)