kshmi is the first Indian Administrative Service (IAS) officer in the state to be arrested for involvement in a graft case.
Currently working as the Family Welfare Commissioner, Srilakshmi is accused of granting 55 leases to Gali's mining companies without verification.
The IAS officer was arrested under seven sections, including 405,468,420 and 125 of Mining Act, Forest Act and Prevention of Corruption Act, from her office in Kothi and was produced before the Metropolitan court this afternoon .
The investigating agency was asked to produce her in a CBI special court on Tuesday.
Though the IAS officer had to spend a night at a woman police station, she will be accommodated at the Dilkusha Guest House, the temporary camp of the CBI, till she is produced in the court.
The agency had made headway in the case and is all set to file FIR by December 4.
“We have completed witness recording, including that of Y S Jaganmohan Reddy and other bidders and miners whom Gali Janardhan Reddy threatened,” said a CBI officer.
Gali Janardhan Reddy, his brother- in –law B V Srinivas Reddy were arrested from Bellary in Karnataka on September 5 in connection with the Rs 29,000-crore illegal iron ore mining and export scam.
Former mines director V D Rajagopal was taken into custody on November 13. All the three are lodged in Chanchalguda central jail.
Srilakshmi’s arrest appeared imminent after the confession of Shashi Kumar, one of the bidders for mining leases, revealing the role of Rajagopal and Srilakshmi in granting mining leases indiscriminately to the Obulapuram Mining Company.
Resisting the impending arrest, Srilakshmi even offered to turn approver in the case and also tried to scurry favour from Chief Minister Kiran Kumar Reddy whom she met last week at the gates of his residence.