The Central Bureau of Investigation (CBI) on Tuesday submitted a report to the special court informing that several of the firms allegedly made investments into companies promoted by Kadapa MP YS Jagan Mohan Reddy exist only on paper.
Sources said the investigative agency had come to this conclusion based on the inputs gathered by its units from Kolkata and other cities, including Hyderabad. It has also reportedly cited the claim of the Income Tax department, which has slapped a fine of over Rs 200 crore on Jagathi Publications by terming the reported investments into the company as income.
It is said that the Enforcement Directorate (ED) was now being roped in to go in depth into the source of funds, especially those that had come via the Mauritius route.
Earlier in the day, CBI joint director VV Laxminarayana met the chief secretary SV Prasad in the Jagan and Emaar cases. The meeting was aimed at seeking further assistance from the state officials.
Laxminarayana is heading the ongoing investigations into the financial misdeeds alleged to have been committed by Kadapa MP YS Jagan Mohan Reddy and the alleged fraud played on the state-owned Andhra Pradesh Industrial Infrastructure Corporation (APIIC) by the Dubai-based Emaar group.
The CBI is examining various documents and files of eight government departments apart from questioning a host of companies and persons outside the government in connection with the two cases.
Responding to media queries, Laxminarayana said they were currently examining various documents and files including computers and were looking for further information from various government departments. However, he did not speak about possible arrests in these two cases in the near future.
