General Manager of Essar steel J S Verma was arrested, becoming the third person to be apprehended by the state police who have already arrested two persons including a contractor B K Lala for allegedly giving money to Maoists groups in return for 'protection' for its pipeline.
"We have arrested General Manager of Essar Mr Verma in the case of (alleged) passing of money to extremist groups," Superintendent of Police (Dantewada) Ankit Garg told PTI over phone.
Verma was produced before a Dantewada court which remanded him to two days of police custody.
Police have registered a case under section 121 of IPC (waging war against the state) and other sections of Unlawful Activities (Prevention) Act.
Essar's documents were scrutinised and Varma was quizzed in the case after Lala, arrested for Essar's alleged money transfer to Maoists, gave a statement to police in this regard.
Lala, a building contractor with Essar Steel Ltd, and Lingaram Kodopi were arrested early this month.
In a written communication, Essar refuted the allegations of making payments to Maoists groups.
"Essar would like to state that such baseless allegations are being made to hurt the image and reputation of the group which is a law-abiding corporate.
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