The Enforcement Directorate on Monday questioned BRS MLC K.Kavitha, daughter of Telangana Chief Minister K. Chandrasekhar Rao, for the second time in connection with the Delhi excise policy case.
Ms. Kavitha’s statement was recorded for over nine hours under the Prevention of Money Laundering Act. She was earlier quizzed on March 11, following which she approached the Supreme Court where the hearing on her petition is scheduled for March 24.
In the same case, the agency has taken into its custody former Deputy Chief Minister Manish Sisodia, who was earlier arrested by the Central Bureau of Investigation for his alleged role in the irregularities in formulating and implementing the now-scrapped policy.
Hyderabad-based liquor businessman, Arun Ramchandra Pillai, who allegedly represented the interests of Ms. Kavitha, was also arrested by the ED. It alleges that he along with co-accused Abhishek Boinpally and chartered accountant Butchibabu Gorantla was a front for the “South Group” that was extended favours.
Mr. Pillai was a 32.5% partner in Indo Spirits, which had been given a wholesale liquor licence. It is a partnership firm involving Mr. Pillai, one Prem Rahul (32.5%) and Indospirit Distribution Limited (35%), in which Mr. Pillai and Mr. Rahul represented ‘benami’ investments of Ms. Kavitha and YSRCP MP Magunta Srinivasulu Reddy and his son Raghav Magunta, respectively, as alleged by the ED.
The agency has accused Mr.Pillai and others of having planned to form a cartel of manufacturers, wholesalers and retailers that controlled over 30% of the whole liquor business in Delhi.
It is alleged that the policy was modified to extend a high profit margin of 12% to wholesalers and close to 185% profit margin to retailers. The then AAP communication and media in-charge Vijay Nair, on behalf of Aam Aadmi Party leaders, received ₹100 crore in advance from the “South Group” whose prominent entities were Mr.Reddy, his son, Ms.Kavitha and Aurobindo Pharma director P.Sarath Chandra Reddy, according to the probe agencies.
Published - March 20, 2023 11:17 pm IST
