New Delhi: More trouble mounted for the crisis-ridden Punjab and Maharashtra Cooperative (PMC) Bank as a Special PMLA Court on Friday sent Housing Development and Infrastructure Limited (HDIL) promoters Rakesh and Sarang Wadhwan to Enforcement Directorate (ED) custody till October 22 in Mumbai.

The development comes after the ED on Wednesday sought the custody of HDIL promoters Rakesh Wadhawan and his son Sarang in connection with the Rs 4,355 crore PMC Bank scam case.

The Economic Offences Wing of the Mumbai Police had earlier arrested the father-son duo in connection with the bank scam. While arresting, the EOW alleged that the bank management in collaboration with the Wadhwans had concealed from the banking regulator’s scrutiny huge amount of loan defaults by the HDIL group firms.

On October 3, the Economic Offences Wing had arrested HDIL directors Sarang Wadhawan and Rakesh Kumar Wadhawan in connection with the Rs 4,355-crore fraud at the PMC Bank scam.

Apart from the arrest, their assets and properties worth Rs 35,000 crore have also been frozen by the authorities. The arrests came days after the government issued a look-out circular against the two directors after preliminary findings allegedly revealed financial irregularities at HDIL.

The arrests were made after the EOW on September 30 filed an FIR against the officials of PMC Bank and the HDIL and formed a special investigation team to probe the matter.

In another development, the HDIL promoters Rakesh and Sarang Wadhawan two days back wrote a letter to a number of agencies asking to sell off their attached assets at the fair market value, monetise it and start the process of repaying loans to the PMC Bank.

The promoters have also written letters to the Enforcement Directorate, Economic Offences Wing, Ministry of Finance, Reserve bank of India, Governor and Deputy Governor in this regard.

While writing a letter to agencies, the promoters have denied the allegations of money laundering and have said that their request is made for the interest of depositors.