Hyderabad, January 04: Former chief minister Y S Rajasekhara Reddy and his son Jaganmohan Reddy are likely the real beneficiary owners of a Luxumbourg-based company and that the details of these transactions are in the exclusive knowledge of V Vijay Sai Reddy, the financial advisor for the various companies floated by Jagan, the CBI has charged. Vijay Sai Reddy, second accused in the Jagan assets case being probed by the CBI, was remanded to 14-day judicial custody on Tuesday and sent to Chanchalguda jail by the evening.
A day after the CBI arrested Vijay Sai Reddy, it sought his custody for 14 days while producing him before the CBI special court on Tuesday . Special judge B Nagamaruti Sarma posted the matter for hearing on Wednesday. In its petition seeking custody of Vijay Sai Reddy, the CBI had said that as per the declaration of Asia Infrastructure Sicar , Luxumbourg, its beneficial owner is Whitehall Associates. However, it is likely that “the real beneficial owner of Asia Infastructure Sicar may be the then chief minister of AP and his son Jagan, who is accused No 1 in the case,” the petition has stated. More importantly , the CBI is of the view that the details of these transactions are in the exclusive knowledge of Vijay Sai Reddy and that he did not reveal the same to the agency during their investigations.
Pointing to several dubious transactions, the CBI petition said during 2007-08 , Jagan created a fictitious transaction of selling 82 lakh shares of Sandur Power at Rs 18.75 per share to five companies, namely ZM Infotech, Nelcast Finance Ltd, Excel pro Soft Ltd, Sai Surya Warehousing Company Ltd and Simga Oxygen Ltd. Later, all the five firms were merged with Keelawn Technologies, it said.
However, following investigations , it turned out that these five companies were bogus as none of them existed at the addresses shown in the record of the said firms, the CBI said. Also, the agency established that none of the persons who were listed as investors in the five companies had actually made any investments. In fact, the names of these bogus investors were taken by Vijay Sai Reddy at the instance of Jagan “so as to convert the ill-gotten money earned by the accused as lawful sources,” the CBI petition said.
The CBI petition also named four subsidiary companies floated by Jagan as director of Sandur Power , namely, Carmel Asia Holding Ltd, Silicon Infrastructure Pvt Ltd, Krishna Power Technologies and Bhagavath Sannidhi Estates Ltd. The CBI contends that the transactions pertaining to these four subsidiary companies are in the exclusive knowledge of Vijay Sai Reddy.
-Agencies