The accused, identified as Damanpreet Singh owns a travel agency in central Delhi's Jhandewalan area and used to accumulate and redeem mileage points (Avios) of frequent flyers using multiple fake accounts and then sell the tickets to his clientele.
In a statement, the British Airways said "We are assisting the police in India with an investigation into alleged fraudulent activity.
According to the police, 32-year-old Singh allegedly used to keep tab on clients who were loyal to British Airways as it would give 'mileage points' to such flyers on the basis of distance travelled in a particular year.
Those points could again be collectively used as currency for buying fresh tickets pertaining to the same company.
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Sources said he has so far stolen around 2 million mileage points and each point is worth around 1.5 pound.
Yadav said that the accused used to access the database of tickets booked by other agents and steal the data and thereafter open fake executive club accounts using the ticket details to redeem the Avios points by booking new tickets.
Singh has been booked under Sections 420 (cheating), 468 (forgery) and 471 (forgery with respect to electronic documents) of IPC and relevant sections of IT Act, the official added.