Bhopal (Madhya Pradesh): The Supreme Court on Saturday quashed anticipatory bail of former chief secretary M Gopal Reddy in connection with money laundering case. Enforcement Directorate (ED) had appealed against the anticipatory bail granted by Telangana High Court. Supreme Court further said that Reddy may go for regular bail.
ED had filed case against M Gopal Reddy on December 15 ,2020 under Money laundering Act (PMLA 2002). Telangana High Court had granted anticipatory bail on March 2, 2021.
According to the ED, in order to gather evidence, a search operation was conducted under the Act. Accordingly, 18 premises were searched including residents of the promoters and offices of M/s Mantena Constructions Ltd, M/s Anteras Pvt Ltd, M/s Osmo IT Solutions Pvt Ltd, M/s Arni Infra from where incriminating documents and digital devices were seized.
It is clear from the ED investigation done so far that a systematic conspiracy was planned and executed by a number of infrastructure companies based at Hyderabad in collusion with a few government officials and IT management companies to illegally win etenders.
Large amounts of bribes running into crores of rupees were paid through hawala channels. The public funds meant for development activities were diverted and siphoned off for personal enrichment and for making bribe payments.
ED has recovered fund trail evidence and generation of black money through bogus and overbilling by the infra companies.
K M Nataraj, ASG, appearing on behalf of the ED, told Supreme Court that given the facts and circumstances of the case, High Court “committed a very serious error in granting anticipatory bail to Reddy.”
While granting the anticipatory bail to Reddy, High Court did not consider the nature of allegations and seriousness of offences under PMLA Act.
As per investigating agency, they collected evidence pertaining to Reddy having taken undue advantage from Srinivas Raju Mantena.
Reddy enjoyed free trips on luxury plane of Mantena
The ED through its counsel told SC that investigation revealed that Reddy had availed and enjoyed free trips in last one year on the luxury plane of Mantena on multiple occasions. It has also been found that Reddy had availed other benefits from Srinivas Raju Mantena, which was for his son.
