Hyderabad: ED takes Karvy MD Parthasarathy into custody

The Enforcement Directorate (ED) on Thursday took Karvy chairman and managing director Parthasarathy into custody in the alleged money laundering case.

It is known the Nampally court on Wednesday remanded Parthasarathy to four-day judicial custody following which the ED took the Karvy MD into custody from Chanchalguda jail. After a medical examination, he was sent to ED office for questioning.

There were allegations that Parthasarathy obtained loan from various banks by pledging the shares of investors. Based on the case registered by the CCS police, the ED took Parthasarathy into custody from Bengaluru and brought him to Hyderabad on PT warrant.

Along with Parthasarathy, the CCS police also registered cases against other directors and remanded them to custody. Based on the FIRs filed by the CCS police, the ED conducted raids in September last year on 14 offices of Karvy stock broking limited and the residences of Parthasarathy and other people.

The ED found that Parthasarathy obtained Rs 3,000 crore loan by pledging the investors' shares and later diverted the funds to the real estate company of Karvy.