Tamilselvan, Poondurai Semur Panchayat President, was taken into custody this morning based on a complaint by Rajendran, former DMK MLA of Polur constituency in Thiruvannamalai District, they said.
According to police, Tamilselvan had last year taken Rs 10.25 lakh from Rajendran promising him that he would arrange for a bank loan of Rs ten crore for running an engineering college.
But he neither arranged for the loan nor repaid the money, following which the former MLA lodged a complaint with police at Polur who arrested Tamilselvan at Poondurai.