NEW DELHI: Two days after CBI arrested him for allegedly accepting bribe of Rs 50 lakh to enhance the credit limit of some companies, the government on Monday suspended Syndicate Bank chairman and managing director SK Jain.

Financial services secretary GS Sandhu said the finance ministry received a preliminary report from the CBI on the arrest of Jain on Saturday, based on which he was suspended.

Jain, 54, was appointed CMD of state-owned Syndicate Bank in July last year for a period of five years. He was one of the youngest CMDs of a public sector bank and was due to retire in 2020. M Anjaneya Prasad and TK Srivastava are the two EDs of the Bangalore-based bank.

Jain, along with seven other accused were yesterday remanded in CBI custody for four days as the agency plans to probe various other angles into the case that may emerge from the telephonic transcripts of the official and conduits.

After completing necessary formalities, the CBI placed Jain and seven others - chairman and managing director of Prakash Industries Ved Prakash Agarwal and director Vipul Agarwal, chartered accountant Pawan Bansal, Vineet and Puneet Godha (relatives of Jain); Vijay Pahuja and Pankaj Bansal under arrest.

PTI