ED records statements of accused in Chanchalguda

The Enforcement Directorate began recording the statements of the accused in three cases all of whom are currently lodged in Chanchalaguda prison. A team of four officials arrived at the prison on Sunday morning.

In the Obulapuram mining case, a team recorded the statements of B.V. Sreenivas Reddy and V.D. Rajagopal before lunch and that of former bureaucrat Srilakshmi in the presence of the counsels of the accused. The ED is expected to continue this process over the next two days, recording the statements of B.P. Acharya, Nimmagadda Prasad and K.V. Brahmanand Reddy on Monday, while the statements of Koneru Rajendra Prasad, Sunil Reddy and Vijaya Raghava will be recorded on Tuesday.

B.V. Sreenivas Reddy, managing director of OMC, was questioned about the investments of the company, also the flow of investments to and from the company. Considering the fact that the turnover of the OMC in 2003-04 was to the tune Rs 35 crore with a nominal profit of Rs 1 crore and by March 2009, it reached a turnover of `3,000 crore and a net profit of Rs 700 crore, the ED is keen to get details about investments made by the company and to see if there were any violations under the Prevention of Money Laundering act and Foreign Exchange Management Act.

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