The Vadodara police have begun a probe into the alleged cheating of shareholders by directors of Topline Shoes Ltd.
The police say that while it will take some time to study the documents, attempts are on to contact other directors of the company.
Vanishing firms: Police case against Gavaskar
An investigating team headed by police inspector K B Jadeja, J P Nagar police station, has started probe into the case.
Topline was launched by six directors in 1991, including commentator and former cricketer Sunil Gavaskar. The company had announced a public issue of Rs 4.65 crore (Rs 46.5 million) in 1992.
A team of police officials visited the Topline plant in Dabhas, Vadodara, on Saturday to survey the assets of the company. A report in 2002 had put the assets of the company at Rs 5.68 crore (Rs 56.8 million).
HMG Murthy, managing director of the company, has not been questioned so far by the investigating team.
The team visited Murthy's house in Diwalipura but he was not present there. Topline started facing financial troubles since its banks stopped providing working capital for day-to-day operations.
The investigating team is also studying the documents received from Murthy. "It is too early to comment on the issue of arrest as the documents are under scrutiny," said Wabang Jamir, deputy commissioner of police, Vadodara.
Jamir added that attempts are being made to get in touch with other directors of the company.
The police are also recording statements of former employees and villagers of Dabhas as per information available.
Meanwhile, HMG Murthy said on Sunday that Gavaskar was a director of the company till 1993.
"He had no role to play in the management of the company. This scandalisation and hoopla is unfair to an exceptionally accomplished person," he said.
"The company and factory had excellent business on hand, but had to close down because two banks withdrew duly sanctioned export credit limits without any reason. The company had also provided Rs 7 crore (Rs 70 million) of security," he said.