India, June 28 -- The Economic Offences Wing (EOW) of the Mumbai police has issued a Look Out Circular (LOC) against businessman Sudhir Valia, a director of Suraksha Asset Reconstruction Ltd (Suraksha ARC), in connection with the alleged Rs.1,000-crore loan fraud case that also names former Yes Bank managing director and chief executive Rana Kapoor.

The development comes days after the sessions court rejected Valia's anticipatory bail plea, paving the way for the investigating agency to intensify its probe. The EOW has maintained that Valia's custodial interrogation is necessary to unravel the larger conspiracy, trace the alleged diversion of funds and identify the beneficiaries of the transactions under investigation.

Valia has since a...