Director of the scam-tainted Prudential Co-operative Urban Bank, Krishna Kumar died in judicial custody on Saturday morning after complaining of chest pain, police said.
Sixty-three-year-old Kumar was provided first-aid at Chanchalguda jail, where he was lodged, and later shifted to Osmania Government Hospital, where he died, they said.
Kumar was arrested on April 7 and later remanded to judicial custody on charges of financial irregularities.
Earlier, chairman of the Hyderabad-based bank B Muralidhar and three other directors had been arrested on April 5 on similar charges while six other directors were still at large.
All airports in the country had been alerted and the passports of the absconding directors confiscated.