High Court orders CBI, ED probe against Chandra Babu Naidu
THE former Hi-tech Chief Minister of Andhra Pradesh N. Chandra Babu Naidu, along with his wife, son and some associates like media baron Ramoji Rao are to be investigated by CBI, ED and the State Government on several charges levelled by the wife of another former Chief Minister YS Rajasekhara Reddy.
The AP High Court in an interim order delivered yesterday observed, “We are of the opinion that the petitioner has made out a case of misuse and or abuse of power and also acts of indulgence shown by the 8 th respondent (Naidu), warranting admission of this writ petition. However, we are of the opinion that respondents 3,4,5 and 6 should be directed to independently carry out necessary inquiries/investigation into the various acts alleged to have been committed and attributed to respondents 8 to 20 in the affidavit filed in support of this writ petition based upon the documents enclosed as material papers of this writ petition, before an opinion can be firmed up about the criminal culpability. Let the investigation be carried out and a report be submitted by each of the respondents 3 to 6 in sealed covers for further consideration of this Court, to enable it to take appropriate and necessary further action in the matter. For this purpose, we grant respondents 3 to 6, three months time .”
The petitioner had levelled several charges like:
Naidu has cleverly used the name of his mother for purposes of securing most valuable assets in and around Hyderabad city in favour of his minor son without the necessity to explain the sources for such acquisition.
Dr. Reddy's Laboratories, a giant pharmaceutical company based in Andhra Pradesh was granted sales tax deferment of Rs.25 Crores for a period of 14 years by the State Government when Naidu was its Chief Minister. Promoters of Dr. Reddy Laboratories purchased land from Naidu's family for a little more than Rs.3 Crores, whereas the market value of such lands in the vicinity was not up above Rs.12 Lakhs per acre and thus the purchase of land by the family members of Dr. K. Anji Reddy is a quid pro quo for the favour of sales tax deferment of Rs.25 Crores.
Naidu has misused and abused his official position and has amassed massive wealth in his own name and in the name of his immediate family members. Several assets held by Naidu and his other family members have not been brought out into the open and if their values are also taken into consideration, his wealth will further zoom past.
Naidu's son who was an average student did his Bachelors Degree Course from the prestigious Carnegie Mellon University in United States of America between 1997-2000 and thereafter prosecuted to study his Masters Degree between 2000-2002 from yet another prestigious University, Stanford University. He could have easily spent educational and living expenses amounting to USD 2,40,000 but no where the respondents have reflected in their statements of accounts filed with the Income Tax Department as to where from these funds have been generated.
Between Naidu and Rajasekhara Reddy, they ruled the State for nearly 15 years - while Reddy's son Jagan is already under investigation, now the High Court has ordered investigation against Babu, his family and friends.
It is not the best of times for politicians – economics sometimes dominates politics.