He was 66 and had recently suffered a stroke.
"Spiritual leader Jagadacharya Chandraswami ji, 66 years old, had been ailing for some time. He recently suffered a stroke," an Apollo Hospital statement said.
Chandraswami, an astrologer and tantric, was considered close to late prime minister P V Narasimha Rao and was probed for his alleged role in plotting and financing the killing of Rajiv Gandhi.
Controversy's favourite child, the self-proclaimed godman in flowing silk saffron robes and sporting a tilak on his forehead, faced a bevy of criminal cases--ranging from FERA violations, to blackmail and cheating, to shady arms deals.
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Soon after Rao became the prime minister, Chandraswami built an ashram-- Vishwa Dharmayatan Sanathan-- in Qutub Institutional Area. The land for the ashram was said to have been allotted by Indira Gandhi.
Chandraswami, whose real name was Nemi Chand Jain, was claimed to have dispensed spiritual advice to the Sultan of Brunei, Sheikh Isa bin Salman Al Khalifa of Bahrain, actress Elizabeth Taylor, British premier Margaret Thatcher and arms dealer Adnan Khashoggi among other famous figures. He also counted some heads of state and government as his close friends.
The Congress party, in its submissions before the Jain Commission in 1997 accused Chandraswami of having financed the assassination of Rajiv Gandhi after playing a key role in the conspiracy jointly hatched by various terrorist outfits in London and executed by the LTTE.
In its report, the Jain Commission dedicated a volume to his alleged involvement. The Enforcement Directorate also investigated his alleged role as financier of the killing.
The court was hearing a plea on the matter by A G Perarivalan, one of the convicts whose death sentence was commuted to a life term in the case.
He faced charges of repeated violation of the Foreign Exchange Regulation Act. An income-tax raid on his ashram is reported to have uncovered original drafts of payments to Adnan Khashoggi of 11 million USD.
Khashoggi was allegedly involved in the "Iran-Contra affair" as a key middleman in the arms-for-hostages exchange along with Iranian arms dealer Manucher Ghorbanifar.