Belagavi (Karnataka) [India], May 17 (ANI): Shivananda Neelannavar, the prime accused in the alleged 4,500-crore deposit fraud case, was produced before a judge at the latter's residence in Belagavi after undergoing a mandatory medical examination at the Belagavi Institute of Medical Sciences (BIMS) Hospital.

Police took Neelannavar to BIMS Hospital for a medical check-up before presenting him before the judge. He was later shifted from his office in Shivabasava Nagar for further legal proceedings.

According to police officials, Neelannavar was questioned continuously for nearly 12 hours at his office. During the search operation, officers carried out document verification and examined online financial transactions linked to the firm.

Police recovered a large number of documents from the office premises and seized two bundles of records along with a laptop, computer, pen drives and mobile phones. Investigators also recorded information related to the seized documents during the interrogation.

Before taking him into custody, police removed Neelannavar's Rudraksha mala, gold ring and chain and handed them over to his family members.

The case relates to the alleged collection of deposits from nearly 35,000 to 45,000 people across north Karnataka by promising unusually high returns of up to 36 per cent interest.

According to the police, the illegal fund mobilisation and alleged cheating were carried out through an investment scheme operated by Shivam Associates without mandatory approvals from financial regulators or the Reserve Bank of India (RBI).

The Belagavi police arrested Neelannavar after registering a First Information Report (FIR) in the matter. The alleged scam, estimated to involve nearly 4,500 crore, came to light after several investors approached authorities alleging irregularities and delays in repayments.

Following the complaints, officials from the district administration, cooperation department and revenue department conducted a preliminary inquiry. Based on the findings, the Belagavi district administration has recommended that the case be handed over to the Criminal Investigation Department (CID) for further investigation. (ANI)