DA case: Jagan, former Minister Sabitha Reddy appear in court

Former Andhra Pradesh Home Minister P Sabitha Indra Reddy and YSR Congress chief Y S Jaganmohan Reddy today appeared before a special CBI court here in connection with a case relating to alleged quid-pro-quo investments in Kadapa MP Jagan's companies.

After the fifth charge sheet was filed by the CBI on April 8 about the role of Dalmia Cements and other firms in the case of alleged quid-pro-quo deals against Jaganmohan and others, the principal special court for CBI cases here on May 14 had issued summons to all the 13 accused, including the then Home Minister Sabitha, Jagan, other individuals and firms, seeking their appearance before it today.

Accordingly, Sabitha Reddy and others accused personally appeared before the court.
Jagan, presently in judicial custody along with his financial advisor V Vijay Sai Reddy, and lodged in the Chanchalguda Central Prison, was produced before the court by the jail authorities amid tight security.

The court had taken cognisance of charges under the provisions of IPC and Prevention of Corruption Act against Sabitha Reddy, who was named as the fourth accused in the latest charge sheet against Jagan and others.

Sabitha Reddy is the third former Minister after Mopidevi Venkataramana Rao and Dharmana Prasada Rao to face charges in Jagan's case.

Mopidevi, an accused in VANPIC episode of Jagan case, is in judicial custody after his arrest by CBI last year.

Sabitha and the then Roads & Buildings Minister Dharmana Prasada Rao's resignations were accepted by Governor ESL Narasimhan last month.

The fifth charge sheet pertains to alleged investments made by Dalmia Cements and two other cement firms, namely Eeswar Cements and Raghuram Cements, in businesses promoted by Jagan.

Sabitha, who held the Mines and Geology portfolio in the Y S Rajasekhara Reddy's Cabinet (during 2004-09), was charged with misuse of office as a public servant in granting limestone mining lease in an extent of 407.05 hectares in Thalamanchipatnam village of Mylavaram mandal, to Dalmia Cements in Kadapa district in 2008 for 30 years.

Dalmia Cements and other cement firms were under CBI scanner for alleged benefits they received in the form of limestone mines in return for investments in Jagan-promoted companies.

CBI has charged these firms with making investments to the tune of several crores in Jagan-owned entities as a quid-pro-quo arrangement.

Others accused in the fifth charge sheet include Jagan himself, his aide Vijay Sai Reddy, Dalmia Cements Managing Director Punit Dalmia, suspended IAS officer Y Srilakshmi and the then Andhra Pradesh Director of Mines V D Rajagopal, among others.

In its four charge sheet filed earlier, CBI alleged that Jagan and his father, former AP Chief Minister late Y S Rajasekhara Reddy, had hatched a conspiracy to defraud the government.

According to the charge sheets, the state government granted favours to certain firms which made investments at a very high premium in Jagan's businesses as a quid-pro-quo.