IAS officer BM Vijay Shankar committed suicide at his residence in Bengaluru's Jayanagar on Tuesday. According to police, the former deputy commissioner of Bengaluru urban district was under depression and undergoing treatment. Shankar's suspension was revoked in the last week of May when he joined back Sarala Commission. According to his family, when Shankar returned home Tuesday evening he was looking fine. He told his wife that he had some work and went inside his room, only to be found hung later.
Vijay Shankar, whom the CBI wanted to prosecute in the Rs 4,000-crore IMA ponzi scam, was accused of allegedly accepting a bribe to hush up the IMA ponzi scam. Shankar was arrested by the Special Investigation Team (SIT) formed by the HD Kumaraswamy-led government in 2019. Later, when the BJP government came to power in the state, it handed over the case to the CBI.
The CBI had recently sought state government's permission to prosecute Shankar, along with two others, in connection with the case after interrogating them, PTI sources said. The agency also sought state government's permission to prosecute two senior IPS officers in connection with the case.
It was in 2013 when Mohammad Mansoor Khan started the ponzi scheme as he promised high returns. According to PTI, a CBI probe had shown that IMA group entities headed by Khan had raised illegal and unauthorised deposits in an alleged dishonest and fraudulent manner from innocent investors to the tune of over Rs 4,000 crore, raising the eyebrows of the income tax department and the RBI. The apex bank had written to the state government to probe the functioning of the IMA.
Vijay Shankar was asked by the government to submit a report on IMA. He assigned the task of preparing the report to the assistant commissioner of Bengalur district LC Nagaraj. It is alleged that Vijay Shankar and Nagaraj took Rs 1.5 crore through a village account Manjunath to hush up the alleged wrongdoings of Khan.
Khan was arrested on July 19 last year on his arrival in New Delhi.
Along with him, seven directors of the IMA, a corporator, and a few others were arrested by the SIT.