Transactions of 25 banks stalled in State and accounts frozen
Police on Sunday arrested Sri Abhaya Gold Group Chairman and Managing Director Kokatla Srinivas and three others in the multi-crore scam in Andhra Pradesh and the neighbouring States.
The Vijayawada City police produced Srinivas, his wife and company’s director K. Ambika, CMD’s private secretary Mahesh and an agent Vijaya Raju. The police produced the accused before the Fourth Additional Chief Metropolitan Magistrate and they were remanded to judicial custody.
The Police seized a BMW car valued at Rs.56 lakh, one Fortuner Car valued at Rs.22.6 lakh and 20 other posh vehicles, documents pertaining to 510 acres and froze accounts in 25 branches of various banks across the State. The investigation officers identified a villa, valued at about Rs.3.70 crore at Patamata in Vijayawada and other properties purchased by Mr. Srinivas.
In the preliminary enquiry, the West Zone police noticed that Sri Abhaya Group was operating about six projects including Abhaya Gold Infrastructure India Limited, Abhaya Realcon Limited, Abhaya Educational Society, Amma Restaurants, Abhaya Home Care Limited and Abhaya Constructions Limited.
West Zone Assistant Commissioner of Police (ACP) T. Hari Krishna, who is investigating the case said that in the preliminary enquiry police identified that the company was operating 130 branches in the State and accepted money, totalling Rs.32.78 crore in writing from 60,000 customers.
The accused were booked under Section.5 of the A.P. Protection of Depositors of Financial Establishments Act 1999, Sections. 406, 420 and 120 (b) of IPC.