The Enforcement Directorate (ED) on Friday attached assets worth over Rs216 crore of an Andhra Pradesh-based infrastructure group in connection with its money laundering probe into alleged disproportionate assets of YSR Congress leader YS Jagan Mohan Reddy.
The attachment relates to a case involving Ramky Pharma City India ltd. (RPCIl) which has been accused by CBI and ED of getting “undue benefit of 914 acres of land in Jawaharlal Nehru Pharma City, Vishakhapatnam, by reducing green belt area from 250 metres to 50 metres”, for which, it allegedly paid kickbacks “worth Rs 10 crore in share capital of Jagati Publications Pvt ltd.”, a media firm owned by Jagan.
“Out of 914 acres, RPCIl converted 627 acres into industrial plots and sold/leased out plots in 468 acres to different pharma companies,” ED said in its attachment order issued in Hyderabad.
The agency said these sub-contracts were in alleged violation of the original contract inked with the State government and hence invites charges under Prevention of Money laundering Act (PMlA).
The assets attached through the latest order, under PMlA, includes various plots and land pieces of the firm in Andhra Pradesh and Rs 10 crore share capital funds of the accused media firm.
“The total value of the assets is Rs216.18 crore,” the order said.
ED investigation into the case followed after the FIR and chargesheet filed by CBI against YSR Congress leader, his associates and others alleging that the accused made money by benefiting from the decisions of the State Government in various forms.
The Government decisions pertain to SEZs, irrigation contracts, relaxation and permissions for real estate ventures, mining contracts among others.
When the contracts were awarded, Jagan’s father, late YS Rajasekhara Reddy, was the Chief Minister and both the agencies have said in their respective complaints that there existed an alleged “quid-pro-quo” in all these deals.