SBI ex-chief Pratip Chaudhuri arrested, sent to 14-day judicial custody

Case related to bad loan, sale of NPA at low value

The Rajasthan Police on Sunday arrested Pratip Chaudhuri, former State Bank of India chairman, in Delhi in connection with an alleged loan scam. He’s been sent to judicial custody for 14 days for an alleged sale of a non-performing asset (NPA)—Hotel Gaudavan—to Alchemist ARC at a low value.

The arrest was made on the basis of a protest petition filed by former directors of Hotel Gaudavan before the Chief Judicial Magistrate (CJM) Jaisalmer.

State Bank of India and Alchemist Asset Reconstruction Company (ARC) have maintained that a fair and transparent process was followed by the bank for assigning the non-performing asset (NPA)