The Special Investigation Team (SIT) arrested Sathyanarayana, chairman of a Hyderabad cooperative society, for illegally transferring Rs 94.7 crore from the Karnataka Maharshi Valmiki Scheduled Tribes Development Corporation to the society’s bank account.
Following a raid on the Corporation office, the police seized documents and froze 14 bank accounts.
This comes after the suicide of accounts superintendent Chandrashekhar, who exposed the scam. The Central Bureau of Investigation (CBI) has registered an FIR and is investigating the case with state government support.