This Article is From Nov 30, 2009

Madhu Koda arrested in Chaibasa

Ranchi: Former Jharkhand Chief Minister Madhu Koda has been arrested in Chaibasa for not cooperating with enforcement agencies. He will be produced in Special Judge (Vigilance) V K Khan's court.

Koda, accused in a Rs 4000-crore scam, was arrested on Monday morning by the local police on a request by the state vigilance department, which is also pursuing a case against Koda. (Read: Koda and associates - the Rs 4000 crore enterprise)

Koda has been constantly summoned to Ranchi but he has refused to do so. Koda on his part has accused the authorities of harassing him. (Read: Defiant Koda says he 'can't be summoned')

Earlier, Koda had written to the Enforcement Directorate saying they cannot summon him.

In a letter to the directorate, he had said that they will have to give him a 10 day advance notice and also inform the Speaker.

And instead of meeting the Enforcement Directorate officials who're handling his case, the former chief minister of Jharkhand was campaigning in Chaibasa, the part of Jharkhand from where he has six candidates contesting the state elections. (Read: Koda campaigns, says 'Not Now' to investigators)

Madhu Koda's rags to riches story:

Thirty-eight-year-old Koda has assets upto Rs 4,000 crores, which he allegedly began collecting, illegally, when he became a minister in Jharkhand in the year 2000.

Income Tax officials believe his assets grew after he got the prized Mines Portfolio in this mineral-rich state. His trusted lieutenants were allegedly two local businessman: Binod Sinha and Sanjay Chaudhary.

Binod Sinha owns a tractor company in Chaibasa, the district where Koda began his political career. Koda allegedly acquired assets and made investments in Sinha's name. In return, Sinha got Koda to give lucrative mining contracts to businessmen who paid him a commission. It was a profitable arrangement, by all accounts. Sinha allegedly made Rs 200 crore in the last eight years. (Read: How Koda's 4000 crores were 'managed')

Sanjay Chaudhary hit the jackpot after he began supplying construction material to public works projects. This brought him into regular contact with Koda.
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