Vijay Patanjali, an alleged key financier of the Delhi Development Authority (DDA) scam, Monday surrendered before a city court that sent him to police custody.
Additional Chief Metropolitan Magistrate Digvinay Singh sent Patanjali to eight-day police custody.
Patanjali, from Shalimar Bagh area of northwest Delhi, has allegedly provided money for a large number of applications made with forged documents, according to the Economic Offences Wing (EOW) of Delhi Police that conducted searches at his premises.
Six people have already been arrested in the case. They are property dealer Deepak Kumar, former DDA employee M.L. Gautam, Jhunjhunu resident L.N. Meena and property dealer Raju Ram, Dinesh, who helped the other accused in making fake election cards, and Satbir Singh, a printing press owner.
All of them are in custody.
Under the DDA housing scheme of 2008, 5,238 flats were allotted to applicants chosen from among more than 500,000 of them. The draw of lots was held Dec 16, but soon there were allegations that it was rigged.
The EOW is probing a complaint that a cartel of property dealers were trying to corner DDA flats reserved for Scheduled Caste and Scheduled Tribe applicants.
It has registered three first information reports (FIRs).