He was arrested last month in New Delhi and is now in custody in Kolkata after allegedly being being involved in bribery case involving the former Director General of Ordnance Factory Board, Sudipta Ghosh.

 

Nambiar, the general manager of Air India, has had his appeal for bail rejected.

 

India's Ministry of Defence has called it one of the “biggest corruption” cases in the history of India.

 

It is alleged that Ghosh and Nambiar received commissions from firms in Israel, Poland and Singapore in return for awarding them military contracts.

 

Nambiar allegedly acted as the conduit between Ghosh and the foreign companies.

 

It is the latest problem to hit the Commonwealth Games, which are due to be held in New Delhi between October 3 and 14 next year.

 

There been serious concerns over security following the terrorist attacks in Mumbai and in Lahore on the Sri Lanka cricket team and there has been criticism over the slow pace of building some of the venues.