Gurgaon, Sept. 19 (PTI): Reebok India's sacked managing director Subhinder Singh and former chief operating officer Vishnu Bhagat were today arrested along with three others for their alleged involvement in a Rs 870-crore fraud in the company.
Singh and Bhagat along with the other three ' Sanjay Mishra, Prashant Bhatnagar and Surakshit Bhatt ' will be produced tomorrow in court.
"We will seek their custody," said assistant commissioner of police Bhupinder Singh, who heads the special investigation team probing the case. Subhinder Singh and Bhatt were booked for fraud, criminal conspiracy and other charges under IPC for allegedly siphoning off 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, Singh, who had been made the managing director of Adidas India last year as part of an integration of the businesses of both Adidas and Reebok brands, was dismissed from the company. Bhatt's services were terminated, too.
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 Bhatt had allegedly rented four warehouses without informing their seniors and used them to store goods and claimed they were supplied to genuine dealers.
