The general manager of the Airhostess Academy of Pune (which later changed its name to Aviation and Hospitality Academy), who was on the run for 11 months, for cheating 550 students was detained at Nariman Point on Friday.
The institute opened in 2004. The Marine Drive police handed over the accused, Ashok Gupta (40), to the Pune police.
According to Marine Drive police, the Deccan police from Pune had registered a case against Gupta in January under sections 406 and 420 of the Indian Penal Code.
Gupta had allegedly started AHA in the Deccan Gymkhana area and collected over Rs 1 lakh from each of the 550 students, promising them well paying jobs in reputed airlines and hospitality sector.
When the students applied to airlines after completion of the one-year course, they found out that there were no provisions for their employment.
The AHA did not have tie-ups with any airlines company as Gupta had claimed while admitting students.
Gupta fled with the money and the students approached the police. In January, a case was slapped against Gupta, his wife, and several others who were members of the institute's board of directors. Gupta was absconding since then.
Ten students from the academy approached the Deccan Gymkhana police station in January and lodged a complaint of cheating against the Delhi-based founder-directors Sapna and Akash Gupta.
The students approached the police following the complaint filed by employees of the institute after the Pune branch of AHA shut down on October 22, 2009.
The Deccan police learnt that Gupta had taken a loan from the Punjab National Bank in Mumbai and opened a similar institute in Dadar. When he could not repay the loan, the property was sealed by the bank and was being auctioned at the Dalam House in Nariman Point on Friday.
"We got a call from the Deccan police, who informed us about the case and requested that we detained Gupta from the Dalam House. We went to the Dalam house and brought him to the police station," said Zunjarrao Gharal, senior police inspector of Marine Drive police station.
Gharal added that Gupta was handed over to the Deccan police officers on Friday evening.
The Deccan Gymkhana police were on a look out for Gupta since the past 11 months. "The Pune police had asked for our help to nab the absconding accused," said ZM Gharal, from the Marine Drive police station.