Stockbroker Ketan Parekh, who was arrested for alleged fraud and misappropriation of public funds belonging to Madhavpura Mercantile Co-operative Bank (MMCB), was today granted bail on condition that he would pay Rs 16 crore to the bank within three to six months.
Chief metropolitan magistrate Smitaben Shah, before whom Parekh was produced by the Central Bureau of Investigation (CBI), who brought him to Ahmedabad from Mumbai after expiry of his 15 days remand, also asked the accused to furnish Rs 2,00,000 in cash and solvency surety of Rs 10 lakh.
The accused gave a written undertaking that he would give MMCB Rs 16 crore to be paid to its over 1,00,000 small investors within three to six months.
The CMM also asked Parekh to produce himself every Monday before the CBI in Mumbai, which was investigating the MMCB and the Rs 137- crore pay order scam.
Moreover, one of the other conditions of the bail was that Parekh should return to MMCB its Rs 380 crore, which he had allegedly misappropriated with other accused in the case, within three years, failing which he was liable to be arrested.
