Lucknow: Making the fifth arrest in the NRHM scam, the Special Crime Branch (SCB) unit of the CBI arrested GK Batra, the managing director of the state government-owned public sector unit, Shreeton India Ltd.

Batra is accused of the financial irregularities in the purchase of computers for hospitals across the state and the CMO offices under the NRHM scheme.

The PSU had purchased computers worth Rs 8 crore from two private firms - Axis Marketing Ltd of Delhi and Noida and Radheyshyam Enterprises of Lucknow. Investigations revealed that exorbitant rates were quoted for the purchase of the computers causing a loss of about Rs 2.93 crore to the government exchequer.

The owners of the two private firms Neeraj Upadhyay of Axis and Virendra Goyal of Radheyshyam, are being interrogated and likely to be arrested, said a senior CBI official. They are also being questioned to know their links with former BSP minister Babu Singh Kushwaha and senior officials in the government looking after NRHM work, sources said.

Batra was arrested after he failed to provide any evidence to corroborate that he was not involved in the financial irregularities in the procurement of computers. He was being interrogated after a search was conducted at his house and the office on Thursday.

The CBI had registered a case against Batra and the owners of the Lucknow and Delhi-based firms after they were found guilty in the preliminary enquiry in the purchase of 900 computers against a cost of Rs 9 crore.

The agency has already found documents related to the bank accounts, lockers, property and other purchases made by Batra, Upadhyay and Goyal to substantiate the financial irregularities done by them, the CBI sources confirmed.

(JPN/ Bureau)