Encounter specialist Daya Naik has been suspended from service, according to Joint Commissioner of Police (Law & Order) Arup Patnaik.
"Sub Inspector Nayak has been suspended following the communication from the Anti-Corruption Bureau to take action against the officer," Patnaik told reporters in Mumbai.
The ACB had raided Nayak's police quarters at Kandivli in Mumbai on late Friday evening for having amassed wealth disproptionate to his known sources of income.
Nayak, however, was not at his residence when the ACB officers went there twice over the weekend. They have questioned his wife Komal.
The ACB raids followed complaints by former journalist Ketan Tirodkar that the encounter specialist had connections with the underworld and had amassed huge assets.