The Enforcement Directorate on Saturday arrested three persons, including two co-founders of the Ashoka University, in an alleged bank fraud case, PTI reported.

The central agency arrested Pranav Gupta and Vineet Gupta – co-founders of the private university as well as promoters of Chandigarh-based pharmaceutical company Parabolic Drugs – and the firm’s chartered accountant SK Bansal. The Ashoka University said it has no connection with the case.

In December 2021, the Central Bureau of Investigation filed a case against Parabolic Drugs and its promoters for allegedly defrauding a consortium of banks led by the Central Bank of India of Rs 1,626.74 crore.

In January last year, Pranav and Vineet Gupta had resigned from all boards and committees of the Ashoka University in the wake of the CBI case.

The Enforcement Directorate is investigating allegations of money-laundering related to the alleged bank fraud. On Friday, the agency carried out searches at 17 places in Delhi, Mumbai, Chandigarh and Panchkula.

The Ashoka University said on Friday that it has no past or current relationship with Parabolic Drugs, and that any attempt to create a link was misleading the Hindustan Times reported.

“Vineet and Pranav Gupta are two among the more than 200 founders and donors of Ashoka University, who have contributed to Ashoka’s creation and growth in their personal philanthropic capacity and whose individual businesses have absolutely no bearing on the university,” it said.