HYDERABAD: A day after the Enforcement Directorate (ED) conducted raids at places in Telangana and Andhra Pradesh connected to Chikoti Praveen Kumar and Madhav Reddy over Foreign Exchange Management Act (FEMA) violation, reports emerged of the alleged involvement of some MLAs, VIPs, film celebrities and some bigshots in both the Telugu States in their gambling business.
On Thursday, the ED issued separate notices to Praveen and Madhava Reddy, summoning them to appear before it on Monday and explain the allegations.
The ED notice came hours after ED officials concluded their raids after almost 18 hours. Sources said that some key documents were seized.
According to sources, Praveen, with the help of Madhav Reddy, organises high-stakes gambling at casinos in Nepal, Thailand, Indonesia and Goa, all places where gambling is legal.
The sources said that at least a dozen MLAs are involved in the casino, as well as some celebrities who go to Goa to party. However, their names have not been made public.
He is believed to have roped in actresses Amisha Patel, Nora Fatehi, Eesha Rebba and Dimple Hayathi to promote his events last month, using his connections in Bollywood circles.
However, Praveen maintains that he is not involved in anything illegal.
“Casinos are legal in Nepal and Goa. I am not doing anything illegal. I will clarify all doubts when I appear before the ED on Monday. I will provide all answers and I am ready to respond to ED notices,” he told reporters on Thursday.
However, the allegations against Praveen and Madhav Reddy are that they facilitated the transfer of the stakes at the casino, running into lakhs of rupees, through hawala channels, thus violating FEMA rules.
It is pertinent to mention here that Praveen had earlier been arrested in an extortion case in 2017.
MLA sticker on car
Chikoti Praveen travels in luxury cars and he allegedly earns Rs 40 lakh per weekend. An MLA sticker on his car has raised eyebrows.
When asked about the MLA sticker, Labour Minister Malla Reddy said that it had expired in March and had been thrown away after that.