THURSDAY, 20 SEPTEMBER 2012 00:54STAFF REPORTER.|.GURGAON
Reebok India’s sacked MD Subhinder Singh and former COO Vishnu Bhagat were arrested along with three others for their alleged involvement in Rs 870-crore fraud in the company on Wednesday.
Assistant Commissioner of Police Bhupinder Singh, who heads the special investigation team probing the case, said, “Singh, Prem along with the three others Sanjay Mishra, Prashant Bhatnagar and Surakshit Bhatt have been arrested and will be produced on Thursday in court where we will seek their custody.
Subhinder Singh and Bhat were booked for fraud, criminal conspiracy and other charges under IPC for allegedly siphoning off the sportswear maker company’s money by creating ghost distributors across the country and generating forged bills over the last five years.
When the alleged scam came to light in March 2012, Singh, who had been made the Managing Director ofAdidas India last year as a part of an integration of the businesses of both Adidas and Reebok brands, was dismissed from the company. Bhat’s services were terminated too.
The company’s financial director, Shahim Padath, later lodged a formal complaint against the duo. The economic cell of Gurgaon police conducted a probe and found that Singh and Bhat had allegedly rented four warehouses without informing their seniors.