K Kavita and Ramachandra Pillai will be interrogated face to face
Kavitha, daughter of Telangana CM KCR, has been called for questioning by sitting in front of Hyderabad-based businessman Ramachandra Pillai. Pillai is arrested by the ED. According to officials, the agency will interrogate Kavita face-to-face with Pillai and record her statement under the Prevention of Money Laundering Act (PMLA). The ED arrested Pillai after claiming that the Hyderabad-based businessman had siphoned off Rs 100 crore from South Group colluded to deliver the bribe to the Aam Aadmi Party (AAP) in Delhi. The businessman is said to be a partner in a company named Pillai Robin Distilleries LLP.
What is South’s complete connection in Delhi liquor scam?
The ED claimed that she was the daughter of Telangana Chief Minister K Chandrasekhar Rao and member of the Legislative Council K. Represents South Group, an alleged liquor cartel linked to Kavita and others. The ED has questioned Pillai at least 11 times since September last year. The agency claims that he is one of the key persons in the entire Delhi Excise scam, which involves payment of huge bribes and formation of the biggest cartel, South Group. The ED told the court that the South group included Sarath Reddy (promoter of Aurobindo Pharma), Maguntha Srinivasulu Reddy (YSR Congress MP from Ongole Lok Sabha seat), K Kavitha (daughter of Telangana Chief Minister Chandrasekhar Rao) and others.
Control of liquor business in Delhi from here!
The South group, the ED said, was being represented by Arun Pillai, Abhishek Boinapalli (arrested in the first case) and Buchi Babu (a chartered accountant associated with Kavitha and arrested by the CBI in this case). The agency has alleged that Pillai along with his associates was coordinating with various persons to broker a political understanding between the South Group and AAP leaders. It is also alleged that Pillai along with another person named Prem Rahul represented benami investments of Kavitha and Magunta Reddy and their son Raghava Magunta respectively. The probe agency has told the court that it was a well planned scheme by the South Group to form a cartel of manufacturers, wholesalers and retailers, which controls more than 30 per cent of the entire liquor business in Delhi.
How to nexus in excise policy
It is alleged that Delhi Government’s Excise Policy 2021-22 for granting licenses to liquor traders has given an opportunity to entrepreneurs to collude and give undue advantage to some dealers. Who allegedly bribed for this. However, the Aam Aadmi Party (AAP) has strongly denied the allegation. The policy was later revoked and the Lieutenant Governor of Delhi recommended a CBI probe, following which the ED registered a case against the accused under the PMLA. In the same case, CBI had earlier arrested Sisodia after questioning on February 26 and after that now the ED has also arrested him on Thursday, March 9.