The Enforcement Directorate (ED) on Tuesday arrested former Mumbai Police commissioner Sanjay Pandey in connection with a money laundering case linked to the alleged illegal phone tapping of NSE employees, officials said.
The retired 1986-batch Indian Police Service (IPS) officer was taken into custody by the federal probe agency after more than seven hours of questioning in the case.
Tuesday was his second consecutive day of questioning.
The ED had last week arrested former NSE CEO Chitra Ramkrishna in the case.
Pandey retired from service on June 30. Before his four-month stint as Mumbai's commissioner of police, Pandey served as the acting Maharashtra director general of police.
Pandey is facing two ED and Central Bureau of Investigation FIRs -- illegal interception of phones of NSE employees by iSec Services Private Ltd, a company founded by him, and violation of Securities and Exchange Board of India guidelines in conducting NSE's system audit.
