CBI grills TDP MLC in loan default case, conducts searches

Telugu Desam Party MLC Vakati Narayana Reddy was today subjected to intense questioning by CBI officials at his residence in Nellore town in connection with a bank loan default case.
The CBI officials conducted searches at the MLC's residence in Nellore as part of their probe into the case. They also conducted simultaneous searches in his firm VNR Infrastructures offices in Hyderabad and Bengaluru.
"They verified many documents and asked me several questions. I gave them my replies," Vakati told reporters at the end of over a seven-hour CBI operation.
The MLC had previously claimed that he had nothing to do with the loan, obtained by VNR Infrastructures, of which he is the managing director.

He is, however, in the dock now as the CBI has registered a case against him and the firm for obtaining a loan of Rs 190 crore from IFCI using "fabricated" documents and later defaulting on repayment.
The loan, along with interest, has now touched Rs 205 crore, sources in the CBI said.
Narayana Reddy, previously a Congress MLC, was elected to the AP Legislative Council for a second term this month as a TDP candidate from the Nellore Local Authorities constituency.