CBI arrests AP minister in Jagan case

Minister arrested for his alleged involvement in land alienation and other favours

In a first ever political fallout from the ongoing investigation into the alleged quid pro quo deals of Kadapa MP Y S Jagan Mohan Reddy, the Central Bureau of Investigation (CBI) today arrested cabinet minister Mopidevi Venkataramana Rao for his alleged involvement in land alienation and other favours made to the promoters of Vadarevu and Nizampatnam Port and Industrial Corridor (Vanpic) project.

Last week,  on May 16, the investigative agency had arrested Nimmagadda Prasad, the founder of Matrix Laboratories and the original Indian partner of Vanpic project along with a government official.

Minister Venkataramana, currently holding Excise portfolio, was the minister for Infrastructure and Investment that had handled the issues of Vanpic project, including the issuance of relevant orders in the Y S Rajasekhara Reddy government. The minister is being charged under various section of Indian Penal Code (IPC) and Prevention of Corruption Act.

 

The minister had been questioned for the whole day yesterday in front of the other two accused by the CBI,  which asked him to appear before it again today. Soon after he reappeared before the CBI officials on Thursday, the investigating agency said it was arresting him.

The news about his arrest came to light after the minister intimated this development to his family members. CBI is yet make a formal announcement in this regard. He is expected to be produced in the special CBI court later in the day.

Venkataramana is one of the six ministers in YSR government responsible for issuing 26 government orders (GOs) identified by the CBI as the source of quid pro quo deals benefiting Jagan and his firms. Incidentally,  all  the six of them are currently members of state Cabinet. The Supreme Court had issued notices to all of them including several senior IAS officers in connection with their involvement in issue in response to a petition. which had alleged that these people were being intentionally excluded from the investigation.

CBI in its remand report alleged that Prasad invested about Rs 854 crore in companies belonging to Jagan as a quid pro quo  for the benefits received from the government headed by the then chief minister Y S Rajasekhara Reddy. This related to the proposed development of a large integrated and industrial corridor project called Vanpic in the two coastal districts of Guntur and Prakasam.

 The government had signed an MoU with the government of Ras Al Khaimah for the development of the Vanpic project, in which Nimmagadda Prasad promoted Matrix Enport Holdings Private Limited has been the Indian partner.