Former Finance Minister of Mauritius, Renganaden Padayachy is now police custody over a fresh fraud investigation. This is only two days after the police released him on bail over another matter.
Police sources stated that they arrested Padayachy on Wednesday at the request of the Financial Crimes Commission. This arrest was on alleged fraud against the Mauritius Investment Corporation (MIC).
The Bank of Mauritius created the MIC in 2020 to support businesses during the Covid-19 pandemic. Police explained that a novel investigation of a $1 million payment the MIC made to Menlo Parks Ltd/Pulse Analytics led to the arrest.
Earlier, authorities charged Padayachy with fraud over a previous case linked to the MIC, and they released him on bail Monday after five days in detention.
According to reports, officers raided two properties linked to the former minister on Wednesday and will take him to court for questioning.
Besides, the police accused him and the ex-governor of the Central Bank of Mauritius, Harvest Seegolam of artificially inflating the valuation of a company. The suspects allegedly cost the MIC approximately $6.7 million in loss from its investment with the company, EastCoast Hotel Investment.
Seegolam, the alleged accomplice of the former minister in this case was arrested and granted bail in January over the Menlo Parks Ltd/Pulse Analytics case, in which Padayachy initially faced no charges.
