VIJAYAWADA: The Central Bureau of Investigation (CBI) on Tuesday raided residences and offices of industrialist and YSRC leader K Raghu Ramakrishna Raju in connection with a case related to his alleged non-payment of loans. The industrialist, who took loans to invest in the power sector, said he would close the account ‘sooner or later.’ Raju is the party’s candidate for the Narsapuram Lok Sabha constituency. The raids were conducted on his residences at Boulder Hills gated community in Gacchibowli (Hyderabad), and in Bengaluru, sources said.
Though the exact amount of loans that his firms owe banks is not known, it is estimated that it might be in several thousand crores. Reacting to the development, Raghu Ramakrishna Raju told the media in Hyderabad that his properties were neither raided nor searched. “The CBI sleuths, following banks’ complaint, have come to inquire into the reasons that led to loan default...” “In due course of time, it (loan) will be repaid,’’ he reportedly told the central agency.
According to information, the YSRC leader had invested in a power company with the help of loans. “We could not sign a Power Purchase Agreement even after 50 per cent of the project’s construction was completed, which is why it was abandoned. I have to repay loans of the abandoned project,’’ he said, adding that he had applied for a One Time Settlement (OTS) with banks. “If the banks approve the OTS, we will pay the settlement amount.”
He added that 90 out of 100 projects in the power sector were in default. “The Tamil Nadu Electricity Board owe me. When I asked them about it, they said they are in Rs 8,000 crore losses,” he maintained.