Chennai: The principal special court for CBI cases, Chennai on Tuesday reserved the order on the bail petition of the sand mining baron and PWD contractor J. Sekhar Reddy and his associates arrested in connection with demonetised currency note exchange scam to December 30 following conclusions of hearing on their pleas.
When the matter came up for hearing before the principal special judge for CBI cases, G. Vijaylakshmi, the counsels for the accused have submitted that all the five persons innocent. They are private individuals and not public servants. The CBI made violated provisions of Prevention of Corruption Act by arresting the private individuals.
They were arrested for possessing newly released Rs 2,000 currency notes worth Rs 34 crore. However, in the FIR names of no bank officials or other officials mentioned as without their support they would have not carried out the operation, the counsels added.
The counsel for J. Sekhar Reddy submitted that the amount seized by the authorities was lawfully earned by Sekhar Reddy in sand mining operations for 25 days since announcement of demonetisation.
Counsels for arrested V. Srinivasalu, Dindugal Rathinam and Muthupettai Ramachandran and auditor Premkumar also submitted their clients were no way connected with exchange of demonetised currencies. Detention under the Prevention of Corruption Act was illegal, they added.
Opposing the bail petitions, the special public prosecutor for CBI replied that the case was in the initial stage and CBI will unearth entire truth in the scam.
He said when the common people faced difficulties in getting new Rs 2000 currency notes, the accused possessed new Rs 2000 notes worth Rs 24 crore. They have not disclosed the details regarding the source of these currency notes. They had illegally amassed cash.
On conclusion of the hearing, the principal special judge, G. Vijaylakshmi asked the special public prosecutor the seized amount and gold bars belonged to whom and place of seizure. The SPP replied that the amount was seized from a vehicle belonged to Rishikumar and money belonged to Sekhar Reddy. Immediately, the special judge asked whereabout of Rishikumar.
The SPP replied that the Income Tax department seized the amount and Rishikumar has been absconding. The judge asked the defence counsels, whether seized amount was Rs 24 crore or Rs 34 crore. Later, the judge adjourned the petitions to December 30 for orders.
