In a development disclosed to the Special Court on Friday, the Central Bureau of Investigation (CBI) has revealed that K Kavitha, leader of the Bharat Rashtra Samithi, allegedly coerced Aurobindo Pharma Promoter Sharath Chandra Reddy into providing Rs 25 crore to the Aam Aadmi Party. This payment was purportedly for securing five retail zones for his enterprise under the excise policy set forth by the Delhi government.
Kavitha purportedly informed Reddy that failure to remit the demanded sum would result in detriment to his business ventures in Telangana and Delhi under the existing excise regulations, the CBI alleges. Reddy, who faces accusations under the PMLA case investigated by the Enforcement Directorate, has cooperated with the authorities as an approver in the matter. However, the CBI has yet to formally charge him.
The investigative agency, seeking Kavitha’s custodial interrogation, submitted to Special Judge Kaveri Baweja that Reddy’s foray into the liquor business in the nation’s capital was a direct result of Kavitha’s encouragement and assurances. Kavitha, the daughter of former Telangana Chief Minister K Chandrasekhar Rao, offered to facilitate his business endeavors in Delhi by leveraging her connections within the government.
Kavitha allegedly instructed Reddy that he must remit a sum of Rs 25 crores for wholesale trade and Rs 5 crores for each retail sector to the Aam Aadmi Party in exchange for securing his position in the liquor industry. This payment was purportedly funneled through her associates Arun R. Pillai and Abhishek Boinpally, who liaised with Vijay Nair, representing Arvind Kejriwal, according to the CBI.
A Delhi court earlier decreed K Kavitha’s detention in CBI custody until April 15 in connection with the alleged excise policy scam in Delhi. Investigations indicate that in early 2021, Kavitha’s associates convened at Hotel Oberoi in Delhi to sway policy provisions through Vijay Nair.
Following Kavitha’s assurances, Aurobindo Reality and Infrastructure Pvt. Ltd transferred Rs 80 lakh to her NGO Telangana Jagruthi as part of their Corporate Social Responsibility initiative in March 2021, the CBI alleges.
Furthermore, the CBI asserts that in mid-2021, Kavitha pressed Reddy to purchase agricultural land in Mahboob Nagar, Telangana. Despite Reddy’s reservations about the purchase, he allegedly agreed to a sale agreement worth Rs 14 crores with Kavitha through Mahira Ventures Pvt Ltd, a subsidiary of Aurobindo Group.
The CBI contends that Kavitha requested Reddy to pay Rs 25 crores, allocated as Rs 5 crores per zone, for the five retail zones allocated to him. Kavitha purportedly claimed that she had already advanced Rs 100 crores on Reddy’s behalf to the Aam Aadmi Party through Nair for favorable modifications to the Excise Policy.
When Reddy expressed hesitance to pay the requested sum, the CBI alleges that Kavitha threatened him with consequences for his business operations in Telangana and Delhi under the Excise Policy. Additionally, Delhi Minister Atishi claimed on March 24 that Reddy’s company funneled Rs 59.5 crore to the BJP through Electoral Bonds.
“The companies owned by Sarath Reddy bought electoral bonds and donated money to the BJP. Now, this money trail has been exposed in front of the country. Reddy purchased electoral bonds worth Rs 4.5 crore while the excise policy was being formulated and after his arrest, he purchased electoral bonds worth Rs 55 crore and the money went to the BJP. So the money trail that has been sought for the past two years is here,” Atishi stated.