A 60-year-old woman doctor, who was evading arrest since 2008 in a cheating case, was arrested from Bangalore, CBI sources said in Madurai on Friday.
Banumathi was one of the several doctors who had obtained loan from the Corporation Bank here between 2004 and 2006 to purchase medical equipments for their clinics.
Following complaints that the loan amount was misused, CBI conducted raids in their clinics in 2008 and found that at least 10 doctors, including Banumathi, did not buy medical equipment and used the money for some other purposes, CBI sources said.
CBI had subsequently arrested eight doctors and the senior manager of the bank in the case, but Banumathi and another doctor Sundarajan went absconding since 2008.
Based on a tip-off, CBI sleuths tracked Banumathi to her relative's house in Bangalore and arrested.
She was produced before a judge, who remanded her in custody till November 13.
She was lodged at the Special Prison for Women in Tiruchirappalli, the sources said.