Mumbai: A special court today (Dec 6, 2004) issued summons to police inspector Daya Nayak asking him to appear in person on Dec 15, 2004 to reply to allegations about obtaining funds from the underworld to construct a school in his native place.

The summons were issued by designated judge A P Bhangale on a private complaint filed by former journalist Ketan Tirodkar alleging that Nayak had links with Pakistan-based gangster Chhota Shakeel and that funds obtained from the underworld was used by him to build a school in Karnataka.

Nayak shot into controversy after he killed more than 50 gangsters in police encounters. Following allegations made by Tirodkar, the police chief shunted him from the crime branch to a local police station in suburban Dahisar.

Hearing Tirodkar's complaint, the court came to conclusion that a presumption arose under Maharashtra Control of Organised Crime Act (MCOCA) that unaccountable assets of Nayak may belong to the underworld unless he showed the source of funds used by him to construct a school in Karnataka.

The court observed that it was competent to try offences under MCOCA or any other Act and hence directed the Registrar to issue summons to Nayak asking him to appear in person on December 15.

Meanwhile, the commissioner of police A N Roy has initiated process against Nayak for allegedly possessing assets disproportionate to his known sources of income.

He has forwarded papers to Anti-corruption Bureau (ACB) for a probe against Nayak, police sources said.