The Enforcement Directorate today arrested Financial Technologies India Limited (FTIL) founder Jignesh Shah in connection with its probe into the Rs 5,600-crore National Spot Exchange Limited (NSEL) money laundering scam.
Officials said Shah was arrested under the provisions of the Prevention of Money Laundering Act (PMLA) as “he was not cooperating in the investigation”.
They said Shah was questioned by the investigating officer of the case here today after which he was placed under arrest.
“Shah will be produced in a special anti-money laundering court here tomorrow,” an ED official said.
Shah was also named in the first charge sheet filed by the ED in this case last year.
Reacting to the development, FTIL said in a statement, “We fail to understand why such a coercive step was taken against by the ED when shah has been fully cooperating with the investigation.”
Officials had said the central probe agency, at a recent review meeting, had informed the Finance Ministry that it was preparing to initiate fresh action for attachment of assets against the accused and would also question a number of them based on inputs gathered by its investigators till now.