The YSR Congress Party (YSRCP) government in Andhra Pradesh is determined to thoroughly investigate the kickbacks allegedly received by former Chief Minister N. Chandrababu Naidu during the term of the Telugu Desam Party (TDP) in the State, asserts Sajjala Ramakrishna Reddy, YSRCP State general secretary and Adviser (Public Affairs).
Mr. Naidu’s remarks that he may be arrested in a day or two are a “deliberate attempt to evoke public sympathy, pre-empt and impede the A.P. Criminal Investigation Department’s probe into the alleged ₹118-crore income-tax scam,” Mr. Ramakrishna Reddy said while speaking to The Hindu.
“The TDP national president may try to create legal hurdles, but the State government is determined to go deep into the kickbacks received by Mr. Naidu,” Mr. Ramakrishna Reddy said.
The Income Tax (I-T) Department might have unravelled the scam, but the State government was of the view that it involved public money and loss to the exchequer, he said.
“The CID will ascertain whether there are any commonalities or connections between the I-T scam and the A.P. Skill Development Corporation scam.”Sajjala Ramakrishna ReddyAdviser (Public Affairs)
“The effort is to uncover any potential association between the individuals involved in the case, and shed light on the extent of alleged corruption. The government has to take it to a logical conclusion,” Mr. Ramakrishna Reddy said.
“The CID will ascertain whether there are any commonalities or connections between the I-T scam and the A.P. Skill Development Corporation scam,” he said, and added that the CID was already probing the skill development scam, wherein more than ₹240 crore had allegedly been siphoned off.
Another ₹114 crore had allegedly been swindled in the Fibernet project. More than ₹350 had been siphoned off in the two projects, he alleged.
“Now, the findings of the I-T Department and its notices to Mr. Naidu in the case pertaining to the construction of the Amaravati capital city shed light on another scam. Also, the construction cost of TIDCO houses was increased by almost 100% to benefit a particular firm and receive kickbacks,” Mr. Ramakrishna Reddy alleged.
While the maximum cost of construction was ₹1,000 per sft (₹700 to ₹800 per sft in reality), the TDP government had pegged it at ₹2,200 per sft. Also, more than ₹10,000 per sft had been paid for the construction of the Secretariat and Assembly buildings, he alleged.
“More skeletons will tumble out of the closet if a thorough investigation is carried out,” he said. The Enforcement Directorate (ED) should also investigate the Amaravati kickbacks issue, he demanded.
“The I-T Department unearthed the hawala transactions. Funds reportedly reached Mr. Naidu from Dubai. A few shell companies were also involved in the process. The ED should investigate the money laundering angle,” he said.
“Mr. Naidu cannot wish away claiming he is innocent,” the YSRCP leader said.
“The I-T notices are not out of the blue. There has been a correspondence between Mr. Naidu and the I-T Department for about two years. The central agency produced clinching evidence of undisclosed source of income by Mr. Naidu. The Economic Offences Wing of the CID will go to Dubai soon after the questioning of the other accused in the case is completed,” Mr. Ramakrishna Reddy said.
