Ex-UTI chief denied bail

MUMBAI, AUG. 3. The former UTI chairman, Mr. P. S. Subramanyam, the mutual fund's suspended executive directors and stock broker, Mr. Rakesh Mehta, held on the charge of misappropriating Rs. 32 crores, were today remanded to judicial custody till August 7 by a special court which rejected their bail plea.

The CBI prosecutor, Mr. Gopal Sharan, pleaded that the agency had come across vital documents and needed Mr. Subramanyam's custody to confront him with these papers. Besides, the CBI had to collect details of conversations he had with some persons on his mobile phone on August 2.

The agency opposed the bail plea of the accused saying they had close nexus with co-accused, Mr. Arvind Johari, promoter of Cyberspace Infosys Ltd. and main beneficiary in the UTI scam.

The CBI said their links with Mr. Johari vis-a-vis other public financial institutions and even Jardines, a foreign company, needed to be probed. Seeking bail, lawyers for the accused said the latter were already in custody since last 14 days and all documents had been seized. Therefore they should be freed. This is for the first time the accused have been remanded to judicial custody. They were arrested on July 21 and remanded to police custody.

- PTI

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