A former General Manager of State Bank of Mysore was arrested on Saturday for allegedly cheating over 2,000 depositors of Rs 10 crore, police said.
The man, proprietor of a private finance company, was arrested for cheating depositors in Bangalore and Dharwad by promising 21 per cent interest and fleeing with the money after neither paying them the principle or interest amount, they said.
Pattabhiraman and his friend Madhav, chairman of a Bellary-based steel firm, was running the firm since 1997.
A flat and a building in his name, besides share certificates, bank passbooks and cheque books were also seized, police said.
Madhav, his aide is absconding and efforts are on to trace him, they said.