Delhi Police have launched an investigation to identify the properties and bank accounts of former Tata Finance Ltd managing director D S Pendse who has been arrested for alleged "misappropriation" of about Rs 2 crore (Rs 20 million) during his tenure in the company.

In connection with the probe, Pendse was taken to Mumbai for verification of his properties, Deputy Commissioner of Police, Economic Offences Wing of Crime Branch, Dinesh Bhatt told PTI in New Delhi on Tuesday.

Police have located at least 13 properties believed to be belonging to Pendse but most of these have been sold and the accused is allegedly claiming that these were not his.

"Efforts are underway to ascertain whether the properties have been sold to his relatives or in 'benami'," Bhatt said, adding the value of these properties was estimated to be more than Rs 3 crore (Rs 30 million).

Police are also conducting investigations into his bank accounts, from where most of the money is believed to have been withdrawn.

Mumbai-based Pendse was arrested on February 25 in Tilak Marg area of Delhi, a day after Delhi High Court rejected his anticipatory bail.

According to a complaint, Pendse, while being in TFL, had acquired Delhi-based non-banking company Inshallah Investment Ltd and allegedly routed finances of TFL to it and brokers.