Nationalist Congress Party (NCP) on Tuesday suspended its legislator Ramesh Kadam, a day after his arrest in a case of misappropriation of funds to the tune of Rs 141 crore of a state-run body set up to extend financial aid to members of other backward communities (OBC).
Kadam, MLA from Mahol in Solapur, was arrested by Criminal Investigation Department (CID) from a five-star hotel in Pune on Monday.
"Kadam has been suspended from the party in the backdrop of his arrest and corruption charges against him," Maharashtra NCP president Sunil Tatkare told PTI.
Kadam as chairman of the Annabhau Sathe Development Corporation (ASDC) had allegedly transferred funds of the state-run body to various organisations headed by him. The money was meant for the welfare of backward communities.
The CID had launched a massive hunt for Kadam since July after he was booked for his alleged involvement in the scam.
Charges against Kadam include illegally sanctioning Rs 41 crore to Joshaba Central Co-operative Society, controlled by him, and another Rs 58 crore to set up a spinning mill in Aurangabad, also controlled by him.
Several transactions made by Kadam on behalf of ASDC caused the corporation huge financial losses, according to the FIR filed against the MLA.
Following this, several teams were formed to nab Kadam and his detractors in the NCP had claimed that he was evading the police with the support of senior party leaders.
The probe against Kadam was initiated last year when the Congress-NCP alliance was in power in Maharashtra and the current BJP government handed it over to the CID.
Kadam is the latest in the list of NCP leaders against whom the government has launched inquiries.
Chhagan Bhujbal, former deputy chief minister Ajit Pawar and state unit chief Sunil Tatkare were the other NCP leaders under the scanner of anti-corruption bureau (ACB).