The special investigating branch (SIB) of police cooperative cell on Tuesday arrested one person in connection with multi-crore labour and construction co-operative federation (LACCFED) scam.
The arrested, DK Sahu, was working as an executive engineer at LACCFED's Bareilly division.
The SIB had summoned him for interrogation. He had been accused of collecting Rs. 4 crore from engineers for the then higher education minister, Rakesh Dhar Tripathi.
The SIB has decided to taken Sahu on remand for further interrogation.
During investigation, the SIB found that Sahu had allegedly been operating from a hotel in Lucknow during previous regime.
He used to allegedly collect money from engineers for allocation of budget.
Two witnesses Pankaj Tripathi and Govind Sharan told the SIB during interrogation that Sahu had taken responsibility to give the money to the minister.
The SIB has handed over Sahu to Mahanagar police from where he would be sent to jail on Wednesday.
SIB has already collected evidence against former panchayati raj minister Babu Singh Kushwaha and former secondary education minister Rangnath Mishra along with Tripathi.
Notices have been issued to the trio. SIB might summon the then chief secretary, Atul Kumar Gupta, to explain why he issued the order nominating LACCFED as a construction agency.
On May 24, 2010, Gupta issued a government order stating that LACCFED has been nominated as government construction agency on provisional basis for one year.
The agency can take up projects worth Rs. 5 crore.
On November 2, 2011, the then chief secretary, Anoop Mishra, issued an order stating that nomination of LACCFED as a government construction agency had been extended for one year.
Fund was released to LACCFED for construction of 24 schools in 14 districts. The secondary education department has allocated Rs. 59 lakh for the construction of each school building.
SIB officer said, "The secondary education minister charged cut for releasing the amount."