HYDERABAD: Telangana High Court Judge B Vijaysen Reddy directed the Andhra Pradesh CID not to initiate any coercive action against Ch Ramoji Rao and Ch Sailaja, who operate Margadarshi Chit Fund in both Telangana and Andhra Pradesh. The court further ordered the AP CID not to conduct any searches at any of the Margadarshi Chit Fund branches in Telangana until March 20.
The judge was hearing a lunch motion writ petition filed by P Rajaji, Vice President of Margadarshi Chit Fund Private Limited, asking the AP CID not to take any coercive action against any of the Margadarshi branch officers, Ramoji Rao and Sailaja.
‘Petitioners committed fin fraud’
The court questioned the counsel for the petitioner at the start of the arguments in the case about the maintainability of the writ petition because the FIRs were registered in AP and the investigation was being conducted by the AP CID. Govind Reddy, special standing counsel for the AP government, informed the judge that the petitioners committed financial fraud in AP while residing in Telangana, and that this cannot be a reason for AP CID personnel to conduct searches at Margadarshi branches in Telangana and take action against Ramoji Rao and Sailaja.
The judge adjourned the hearing until March 20, instructing the AP CID not to take any coercive steps against the petitioners or conduct any searches at Margdarshi chit fund company branches, and stated that a decision on the maintainability of the petition will be made on the next date of hearing.