"Sushil Kumar Modi's role must be investigated as he was the deputy chief minister and finance minister of the state".
"Sushil Modi was Bihar's finance minister and held the commercial taxes portfolio when the embezzlement of public money by the NGO in Bhagalpur began. There is solid evidence of Modi's involvement in the scam when he was Bihar Finance Minister".
Meanwhile, Nitish Kumar has said that the government has been getting reports of such scams from other districts as well and none of these will be tolerated. "Why would we do so if we were involved in it?" said Sushil Modi.
"He must step down and be sent to jail", said Yadav, adding that he may approach the high court seeking a CBI probe if the Centre does not order it. The scam happened in Bhagalpur and has now reached 1000 crore.
Initial investigations of a Special Investigation Team of Bihar Police's Economic Offence Unit said at least Rs 270 crore was diverted from the bank accounts of Land Acquisition Office, Rs 15 crore from District Treasury Office and Rs 10.26 crore from the Mukhyamantri Shahari Vikas Yojna. "Lalu is levelling baseless allegations to avenge Nitish's decision to part ways with RJD", JD (U) spokesman Rajiv Ranjan said.BJP spokesperson Rajib Ranjan questioned why the RJD, which was in the government for 20 months till mid-July, did not unearth the scam.
Sushil Modi said the scam had made the state government take stock of all its bank accounts across the state.
"Now it has crossed Rs 500 crore and it may increase in coming days with the probe still on", an official of the SIT said.
Police on Saturday arrested Arun Kumar Singh, a retired branch manager of Bank of Baroda in connection with the multi-hundred crore government funds scam in Bhagalpur.
Two more FIRs were lodged on Wednesday in connection with fraudulent withdrawal of funds of the land acquisition department.