The Andhra Pradesh High Court on Monday dismissed a public interest litigation seeking a probe by the CBI and the Enforcement Directorate into the assets of Panchayat Raj Minister K Jana Reddy and his associates under the Prevention of Corruption Act and Prevention of Money Laundering Act.
A division bench comprising Justice G Rohini and Justice C Praveen Kumar, while dismissing the PIL, ruled that it was not maintainable.
VV Rao, a member of the India Against Corruption (IAC) and two others, moved the court alleging that Reddy had amassed wealth through illegal means during his tenure as a minister. They alleged that he and his five relatives were owners of JKAR Energy Ventures Limited and 30 other companies and used these companies for money laundering.
The petitioners claimed that shares of companies owned by the minister and his relatives with a face value of Rs 10 per share had been issued at an exaggerated premium of Rs 500 and the premium was not market related but was only to launder money. “Later, the shares were bought back through other firms,” they said.