Disputing the claim of the CBI that the state government and Ras al-Khaima, a member-state of the United Arab Emirates, entered into an agreement on the Vanpic project on build, own, operate and transfer (BOOT) basis, industrialist Nimmagadda Prasad, who was arrested by the CBI in the YS Jagan Mohan Reddy’s alleged illegal assets case, asserted on Thursday there was no mention of BOOT in the memorandum of agreement (MoU).
Prasad, who filed a bail petition before the principal special court for CBI cases, said he was a genuine investor in Jagan’s companies.
Prasad said the agreement between the governments of AP and RAK did not have the mention of Build, Own, Operate and Transfer (BOOT) in Vanpic project as alleged by the investigation agency.
The CBI had been alleging that BOOT was later changed to BOO (Build, Own and Operate) to benefit Prasad, the main promoter of the project, and as a quid pro quo arrangement, he invested in Jagan’s companies. He said he was a genuine investor and the investigating agency was misleading the court.
Prasad said the CBI had shown three categories of accused in the case. One include the beneficiary of quid pro quo arrangement who is Jagan Mohan Reddy and the second are officials who helped in it.
“The third category is investors who invested as quid pro quo but I am a genuine investor.’’ Prasad said he got 100 per cent returns in investing in Bharathi Cements promoted by Jagan Mohan Reddy.
Prasad further said that he developed several sick industries and generated employment for thousands of people and contributed several crores of rupees as taxes to the government.
He said he was also involved in philanthropy and helped thousands of AIDS patients by providing them medicines and treatment that cost Rs 5 to 6 lakh per annum.
“There is no loss to the public exchequer as no capital expenditure by way of equity or otherwise on Vanpic project has been incurred by the government,’’ Prasad said, adding that he did not get any land, whether government or private, free of cost or on subsidy.
Prasad said charges made against him under Sections 420, 409 and PC Act were not sustainable.
The court posted the matter for hearing to June 25.