The Economic Offences Wing (EOW) of Mumbai police on Friday arrested a contractor in connection with an alleged fraud in setting up oxygen plants in hospitals during the COVID-19 pandemic, an official said.

Contractor Romil Chheda, who was arrested post interrogation, was given a contract to set up oxygen plants in nine BMC-run hospitals and two jumbo COVID-19 centres despite allegedly not having prior experience of executing such work, the official said.

He and some others are accused of causing a loss of Rs 6 crore to the Brihanmumbai Municipal Corporation, the official informed.

A case was registered on Wednesday against Chheda and some BMC officials under Indian Penal Code sections 418, 465, 467, 468, 471, 218, 120 (B) and 34 for cheating, forgery, causing wrongful loss, framing incorrect record to save someone from punishment and other offences, he said.

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