Electoral bonds: Megha Engineering donates Rs 1,200 cr; 2nd highest overall

Top electoral bonds doors: Everything you need to know about Megha Engineering and Infrastructure Ltd and its subsidiaries that made up the second largest electoral bond donor

The Election Commission of India (ECI) unveiled crucial data regarding electoral bonds, shared by the State Bank of India (SBI) on March 12, shedding light on entities that have purchased these bonds to extend financial support to political parties. According to the data, Future Gaming and Hotel Services, a lottery company, and Megha Engineering and Infrastructure Ltd (MEIL) emerged as the top two donors to political parties. MEIL, also commonly known as Megha, along with three associated companies procured bonds worth Rs 1,200 crore between 2019 and 2023.

Here is everything known so far about the second-largest donor to political parties

 

Megha Engineering Enterprises

Established in 1989 as Megha Engineering Enterprises by Pamireddy Pitchi Reddy, the company started as a small pipes manufacturer for municipalities. Headquartered in Hyderabad, the company has since expanded to Megha Engineering & Infrastructures and has since grown into a Telangana-based industrial conglomerate.

Under the leadership of Reddy and his nephew P V Krishna Reddy, who joined the company in 1991, Megha Engineering has undertaken landmark infrastructure projects, including one of Telangana's largest irrigation ventures valued at Rs 14 billion, which commenced operations in 2019.

P P Reddy and P V Krishna Reddy were listed as the 54th richest in India, with a net worth of more than $4 billion, according to Forbes 2023 ‘India’s 100 richest’ list.

Megha Engineering also garnered recognition for its involvement in transformative infrastructure endeavours, such as the Zojila Tunnel, Asia's longest bi-directional tunnel connecting Srinagar and Ladakh. The company's subsidiary, Olectra Greentech, has also made strides in the electric vehicle sector, boasting an impressive order book exceeding 3,000 buses.

Also Read: Top electoral bond donor: All about Future Gaming & India's 'Lottery King'

Donations made by Megha Engineering

Megha Engineering purchased electoral bonds worth Rs 966 crore between 2019 and 2023. Additionally, three companies associated with MEIL, including Western UP Power Transmission Company Ltd, SPEC Power, and Evey Trans Private Ltd, collectively donated Rs 266 crore through electoral bonds. This cumulative contribution amounts to a staggering Rs 1,200 crore in electoral bonds.

Allegations of financial irregularities at MEIL

Despite its notable achievements, Megha Engineering has faced scrutiny, particularly concerning its involvement in the Kaleshwaram Lift Irrigation Scheme. Recent reports have raised questions about alleged financial irregularities, with an audit report by the Comptroller and Audit General (CAG) suggesting potential discrepancies amounting to crores of rupees.

These revelations have also sparked political controversy, with both the Congress and Bharatiya Janata Party (BJP) accusing the ruling  Bharat Rashtra Samithi (BRS) party of extending undue patronage to Megha Engineering.

MEIL's official website is currently inaccessible beyond the homepage.