Former State Bank of India (SBI) Chairman Pratip Chaudhuri was arrested by the police from his Delhi house in a loan scam case. The case involves properties owned by Godawan Group, which are worth Rs 200 crore which were sold at Rs 24 crore.

The police say Godawan Group took a loan for Rs 24 crore from SBI in 2008 for building a hotel. At this point, the group’s other hotel was running. Soon when the company could not repay the loan, the hotel was termed NPA, and the bank seized both the hotels. The two hotels were then sold to Alchemist ARC at Rs 25 crore. Alchemist’s Alok Dhir managed to leave the country yesterday, media reported.

Alchemist ARC bought the hotels in 2016, and an estimate carried out in 2017 revealed that the property’s market value was Rs 160 crore and now values at Rs 200 crore. Chaudhuri’s tenure as the 23rd Chairman of SBI ended in September 2013. Media reports said that he joined Alchemist ARC as a director after he retires from SBI.