Former Karnataka Congress Minister and seven-time board member Roshan Baig was arrested in the IMA scam by the Central Bureau of Investigation (CBI) on Sunday after a 10-hour marathon barbecue. The IMA scam concerns I Monetary Advisors, an investment company that is allegedly run in compliance with Islamic banking rules. IMA collapsed in May last year when it was unable to pay the deposits and dividends on the deposits it had illegally accepted.
IMA co-founder Mohammed Mansoor Khan at the time of his arrest alleged that Baig had cheated him out of 400 million rupees and forced him to give away expensive cars and jewelry. Baig, at the time, had vehemently denied the charges and claimed that, except for some donations to the Haj facilitation centers, he had not accepted money. Over 51,500 depositors are said to have lost Rs 2.5 billion raised by IMA and its many subsidiaries in the ponzi scheme.
Also read: Karnataka government allows CBI to prosecute two senior IPS officials in IMA scam
While a police investigation was initially ordered with a Special Investigation Team in process, in September 2019, the state government turned the case over to CBI. Baig, who after being arrested by the CBI, was brought before a magistrate, has been sent into the custody of the CBI for 14 days for further investigation.
In early June 2019, Baig had been suspended from the Congress party after criticizing opposition leader Siddaramaiah and then-KPCC president Dinesh Gundu Rao. Baig had also tried to join the BJP.
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