Paytm founder Vijay Shekhar Sharma was later granted bail by the Delhi Police.
Paytm CEO Vijay Shekhar Sharma was arrested by Delhi Police last month and later released on bail in a case of rash driving. The Paytm founder was allegedly driving a Jaguar Land Rover that hit the car of the District Commissioner of Police of South Delhi, police said.
According to the complaint, the speeding Land Rover hit DCP Benita Mary Jaiker's car outside Mother's International School on February 22. Mr Sharma fled the scene.
The DCP's car was being driven by her driver, constable Deepak Kumar. Mr Kumar noted down the number of the Land Rover and immediately informed the DCP, police said.
After preliminary investigation, police found that the car is registered to a company in Gurgaon. The people of the company told that police that the car is with Vijay Shekhar Sharma, who lives in South Delhi.
Delhi Police spokesperson Suman Nalwa confirmed that police had arrested Vijay Shekhar Sharma in a case of rash or negligent driving and later released him on bail.
In a statement, the Paytm spokesperson said, “A complaint was filed in connection with an alleged minor motor vehicle incident. There was no harm caused to any person or property in the said incident.
"Media reports claiming the nature of the arrest are exaggerated, as even the complaint against the vehicle was for a minor offense under a bailable provision of law and requisite legal formalities were completed on the same day,” the spokesperson added.
Earlier this week, the Reserve Bank of India asked Vijay Shekhar Sharma-promoted Paytm Payments Bank to stop opening new accounts amid "material supervisory concerns" observed in the bank.