Bengaluru/New Delhi, July 16 (IANS) The Central Bureau of Investigation (CBI) on Thursday arrested Anurag Danayak, Managing Director of Karnataka Antibiotics and Pharmaceuticals Limited (KAPL), a Central Public Sector Enterprise, in connection with an alleged bribery case involving the renewal of a service agreement and allotment of additional institutions. According to the CBI, Danayak was caught red-handed in a trap operation conducted in Noida on July 15 while allegedly accepting Rs 5 lakh as part payment of a total bribe demand of Rs 15 lakh.The agency said the accused had demanded an undue advantage from a Bhopal-based firm, which serves as an authorised service agent of KAPL and supplies medicines to government institutions across Madhya Pradesh.

Investigators alleged that the bribe was sought in exchange for approving the firm's Service Agent Agreement and processing its application seeking assignment of additional institutions. Both requests were reportedly pending renewal for the current financial year. The CBI further alleged that the Managing Director had also sought a share of the commission earned by the firm from medicine sales during the year.Following the arrest, the CBI conducted searches at Danayak's residential and office premises in Bengaluru, Noida, and Jabalpur.During the searches, officials seized approximately Rs 75 lakh in cash and foreign currency valued at around Rs 4 lakh from his residence in Noida and office chamber in Bengaluru. The agency also recovered 697 grams of gold jewellery and coins, estimated to be worth nearly Rs 86 lakh, besides documents relating to a residential flat owned by the accused.

Karnataka Antibiotics and Pharmaceuticals Limited is a Bengaluru-headquartered public sector undertaking engaged in the manufacture and supply of pharmaceutical products across the country.The arrested official is expected to be produced before the competent court. The CBI said the investigation is continuing to ascertain whether any other individuals were involved in the alleged bribery network.The case marks one of the significant anti-corruption actions involving a senior executive of a Central Public Sector Enterprise in recent months.

/IANS