Chennai: In the murky world of capitation fees for medical seats in Tamil Nadu, film financier, promoter of Vendhar movies, S Madhan, was said to be deeply involved. He had allegedly collected huge sums of money from prospective students and their parents promising them seats in medical college of the SRM University.

On complaints from students and their parents for cheating as the students did not get the promised medical seats and their money had gone, the police had arrested Pachamuthu and released him on bail after few weeks. But, the film producer, with whom Pachamuthu was connected via his political party, IJK, went missing sometime in May.

But, the long search for the missing film producer ended on Monday after a team of Chennai police picked him up from the textile town of Tiruppur, some 470 km from here.

Chennai City Police Commissioner S.George said Madhan was arrested would be brought to Chennai from Tirupur.

Madhan is alleged to have collected crores of rupees from parents of students wanting admission tp medical college of the SRM group. The SRM group also runs a media organization with print and television outlets.

He then went missing after writing a note that the money he had collected was given to the SRM group.

The SRM group chairman denied any knowledge of that and asserted that he had nothing to do with Madhan after he was expelled from the party.

More than 100 parents filed complaints against Madhan, who, prior to entering the film industry, had a profitable career as an agent securing seats at Chennai’s most prestigious colleges for his various clients, which ultimately led to Pachamuthu’s arrest. Madhan is believed to have collected around Rs 80 crores in bribes from the disgruntled parents.

Senior police officials say that Madhan had set up a ‘secret room’ in the house of an acquaintance at Tiruppur and had been living there since his disappearance.