Bhubaneswar, Oct 20 (IANS) Naseer Khan, the producer of Hindi movie 'Shadow', was arrested Tuesday in connection with a chit fund scam in Cuttack and later released on a personal bond, police said.

'He was arrested today from Cuttack. Later he was released on a personal bond of Rs.25,000,' said A.K. Roy, inspector general police, crime branch.

The crime branch of the Orissa Police had filed a case against Khan's company, Greater Entertainment, for allegedly diverting the money raised through chit funds and multi-level-marketing to produce 'Shadow'.

'He had come to de-freeze the account seized by the police earlier as we have frozen seven accounts amounting to Rs.196 crore. In this connection, he had come with his counsel and one of his associates. We arrested him and sought his custody, showing evidence that he has raised money through fraudulent means,' he added.

Released Aug 21, 'Shadow' has Milind Soman and Sonali Kulkarni in lead roles and is directed by Rohit Nayyar. Naseer Khan, who co-produced the film with Shamshad Alam, has also acted in it.