Money laundering: ED crackdown against Hyderabad based firm
Hyderabad: Enforcement Directorate (ED) raided Eight locations in Hyderabad and Ongole (Andhra Pradesh) belonging to city based firm-M/s Chadalavada Infratech Limited (CIL) and others. The agency conducted search operations as part of an ongoing investigation into alleged bank fraud involving M/s Chadalavada Infratech Limited (CIL) and others.
The agency initiated investigation on the basis of a case booked by CBI, ACB, Hyderabad against M/s Chadalavada Infratech Ltd., its Director Chadalavada Ravindra Babu and others.
The Central Bureau of Investigation(CBI) booked a loan fraud case based on a complaint by State Bank of India(SBI), Hyderabad, for siphoning and diversion of funds, cheating and criminal conspiracy resulting in loss of public money to the extent of Rs.166.93 Crore.
The firm was engaged in execution of power infrastructure projects as an Engineering, Procurement and Construction (EPC) contractor, diverted major part of the loan amount for the purpose other than for which it was sanctioned.
Here is the modus operandi
Money laundering agency probe revealed that CIL was diverting the credit facilities by availing fund based and non-fund-based credit facilities from State Bank of India. Further its directors conspired with others and misutilised the loan funds and diverted the same by employing various modus operandi like accommodated letter of credit transactions, round tripping of funds in the form of equity investment, diversion of loan amounts into the accounts of employees/Directors and their family members and others.
Further investigation revealed that a major portion of the letters of credit were issued to entities opened in the names of relatives and employees without any underlying business. Therefore, huge amounts of funds were diverted. Out of diverted funds, properties were acquired in the name of third parties, directors and family members.
Enforcement Directorate(ED) search operations led to the recovery and seizure of documents related to properties which are suspected to have been acquired out of proceeds of crime. Further, incriminating documents and digital devices were also seized.
CM Revanth Reddy reorganizes disaster management for Greater Hyderabad
HYDERABAD: Chief Minister A. Revanth Reddy has decided to assign critical responsibilities to the Disaster Management Department within Greater Hyderabad. He has directed officials to implement structural changes and redistribute responsibilities accordingly. In a review meeting at the Secretariat on Monday evening, the Chief Minister discussed the reorganization with officials from Municipal Administration, HMDA, and Musi Development.
Expansion of disaster management responsibilities
Recognizing the geographic expansion of Hyderabad, the Chief Minister ordered the Disaster Management Department to extend its jurisdiction to the Outer Ring Road. He suggested including GHMC, 27 surrounding municipalities and corporations, and 33 gram panchayats within its service area. The department will be renamed the Hyderabad Disaster Response and Assets Monitoring Protection (HYDRA). The Chief Minister proposed appointing a DIG-level officer as the director and SP-level officers as additional directors. He also recommended special teams from GHMC, HMDA, the Water Board, city traffic, and other departments to join this new division.
The Chief Minister emphasized the need for the Disaster Management Department to offer continuous services to city residents, not just during floods or emergencies. HYDRA should actively address all issues faced by Hyderabad’s citizens, including preserving the city’s tanks and ponds, protecting government properties from encroachments, and managing hoardings and flex banners. Additionally, HYDRA will oversee water pipelines, electricity supply lines, drainage, flood management, and traffic control.
Focus on heritage and infrastructure projects
Chief Minister Reddy directed the acceleration of the Musi River Development Project, aiming to elevate Hyderabad’s international reputation. He stressed the importance of working towards the government’s goal of transforming this project into a landmark. He also ordered officials to take necessary actions to restore historical buildings and structures within the city. The GHMC presented a PowerPoint on various heritage sites, such as the City Library, Charminar Ayurvedic Hospital, and Nizamia Observatory etc. The Chief Minister encouraged exploring ways to develop these sites for tourism and integrating feasible ones into the Musi River Development Project.
The Chief Minister instructed Chief Secretary Shantikumar to draft a comprehensive reorganization plan, including staffing, duties, and budget allocations for HYDRA. He also emphasized identifying key areas where the Disaster Management Department can enhance its operations.
The meeting included Chief Secretary Shantikumar, Principal Secretary of Municipal Administration and Urban Development Danakishore, GHMC Commissioner Amrapali, GHMC Vigilance Disaster Management Commissioner A.V. Ranganath, and Hyderabad Water Board MD Ashok Reddy.
