YSRCP demands CBI, ED probe on Chandrababu Naidu

I-T raids: YSRCP demands CBI, ED probe on Chandrababu Naidu

Chandrababu Naidu. (DH Photo)

The YSRCP is demanding for a CBI and ED probe into the assets of TDP chief Chandrababu Naidu, dubbing the former CM as the fountainhead of corruption in Andhra Pradesh.

The party is mounting charges on Naidu following one Income Tax department statement claiming to have busted “a major racket of cash generation through bogus sub-contractors, over-invoicing and bogus billing involving three prominent infra firms (based in Andhra Pradesh and Telangana)." 

IT officials said they detected unaccounted income of more than Rs 2000 crore.

On February 6, IT sleuths had conducted a search and seizure operation at more than 40 premises spread over Hyderabad, Vijayawada, Kadapa, Visakhapatnam, New Delhi and Pune.

Also Read: I-T raids: TDP refutes; asks Jagan to clear himself of corruption charges


“The operations revealed that infrastructure companies had sub-contracted work to several non-existent/bogus entities. Preliminary estimates suggest siphoning of more than Rs 2000 crore through transactions that were layered through multiple entities with the last in the chain being small entities with turnover of less than Rs two crore to avoid maintenance of books of accounts and tax audits etc.,” said Surabhi Ahluwalia, Commissioner of Income Tax (media and technical policy) in a press release.

Though none of the companies or individuals were named, the statement mentions the search operation as “also carried out on close associates including ex-personal secretary of a prominent person and incriminating evidence seized.”

The YSRCP was quick to point the secretary mentioned as P Srinivas, AP’s General Administration Department official, who was with Naidu when he was the CM. On February 6, raids were also conducted on the properties of Srinivasulu Reddy, Kadapa district TDP leader.

At-least half a dozen of YS Jaganmohan Reddy’s ministers spoke against Naidu terming the IT revelations now “as just tip of the iceberg.”

Asking for an Enforcement Directorate probe, agriculture minister Kurasala Kannababu said, “The raids proved how corrupt Naidu is. Wonder how many more Rs crores of fraud would come to light if raids are conducted on the houses of Naidu and his son Lokesh.”

Stating Naidu’s role in the multi-crore scam as evident now, minister Balineni Srinivas Reddy demanded a CBI inquiry into the whole affair.

“Corruption had reached its zenith in the execution of Polavaram and Pattiseema projects and Naidu, who is adept at money laundering, thought he would get away with it” said another minister Muttamsetti Srinivasa Rao, who was a TDP Lok Sabha MP the last five years.

Endowments minister Vellampalli Srinivas reminded that Naidu barred the CBI from the state, “so as to shield himself.”

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