SC notice to Andhra CM Jagan Reddy on plea for cancelling his bail in disproportionate assets case

New Delhi: The Supreme Court on Friday issued notice to Andhra Pradesh Chief Minister Y S Jagan Mohan Reddy on a plea for cancelling bail granted to him in the disproportionate assets case.

The court also sought his response on a plea questioning permanent exemption granted to him from appearance during the trial.

A bench of Justices Abhay S Oka and Pankaj Mithal sought a response from Reddy and the CBI on a special leave petition filed by YSR Congress MP Raghu Ramkrishna Raju.

The petitioner represented by advocates Balaji Srinivasan and Rohan Dewan challenged validity of Telangana High Court's orders of August 26, 2022 and October 28, 2022.

His plea, among other grounds, contended the High Court's order goes against principles governing grant of exemption to accused in criminal trials that each exemption is required to be specifically reasoned and justified.

It also challenged validity of High Court's order of October 28, 2022 rejecting the plea for cancellation of bail, contending the order was passed mechanically without appreciating that the accused had breached his bail conditions by never appearing in the criminal trials, and by alluring and threatening witnesses.

The court, while deciding to examine the matter, ordered to tag the instant plea along with a pending petition seeking the transfer of the trial in the case outside Hyderabad, preferably to Delhi.

On November 3, 2022, the court had a response from the CBI and Reddy on the transfer plea.

The petitioner claimed that his conscience is shaken by the manner in which state machinery is being manipulated to suit the sitting Chief Minister of Andhra Pradesh after having illegally and unjustly enriched himself (and various companies floated by him) to the tune of Rs 40,000 crore (and necessarily, having caused loss to that extent to the public exchequer).

His plea had alleged that the CM has ensured that the criminal trials against him remain dormant and no fruitful steps are taken against him.

“Shockingly, the State Machinery (represented by the CBI) have been more than happy to be silent spectators to this abuse of the processes of the Courts (turning the criminal trials into 'friendly matches' between accused and prosecution),” the plea said.

It claimed that since May 14, 2014, when late Dr Y S Rajasekhara Reddy was sworn in as CM of AP, he along with his son Jagan Mohan had adopted an ingenious modus operandi to amass illegal wealth by abusing public office, causing losses to the public exchequer.

“The modus operandi adopted by the father-son duo was to dole out public largesse in the form of properties, SEZs/projects allotment, grant of mining/ port licences and other such benefits to persons of their choice (in violation of established norms and procedures of governance) at the cost of the taxpayers' money, with a clear understanding of quid pro quo- in the form of bribes given to the Respondent No.2 (Jagan Mohan) under the guise of purchasing shares in different companies of the Respondent No.2 at a high premium,” the plea said.

Subsequent to filing of chargesheets, Jagan Mohan has "cleverly sought to distance himself from the key management posts of the companies concerned", it alleged.

However, he continued to exert control and management of the said companies through a complex web of corporate veils, it further claimed.

In the present case, the trial has been dragging along for over 10 years and even charges have not been framed, which caused a reasonable apprehension of bias by the prosecution and judicial proceedings.

“Shockingly, even the CBI and Enforcement Directorate appear to be silent (and perhaps even complacent) in this misuse of judicial process and show no real interest in proceedings of the criminal trials," the plea had said.