The Andhra Pradesh government on Saturday removed Tamil Nadu based businessman J. Sekhar Reddy from the world famous Hindu temple, Tirumala Tirupati Devasthanams (TTD) trust board, after Rs 107 crore in old and new currencies and 127 kg gold were detected in a series of Income Tax raids in the last three days. The total value of unaccounted money from him is estimated to be Rs 142 crore.
The decision to sack Reddy, who was appointed to the TTD in May 2015, was taken by AP Chief Minister N. Chandrababu Naidu. Naidu, who is in New Delhi to meet Finance Minister Arun Jaitley, took the decision after the Centre hinted Reddy could be arrested any time.
Reddy, 42, is a sand quarries owner in Vellore, Tamil Nadu. He had been appointed to the prestigious TTD on the recommendation of then TN Chief Minister Jayalalithaa. Sources close to the AP CM told The Sunday Guardian that there was a customary practice of appointing someone from Tamil Nadu to the TTD as a large number of devotees visit the temple from that state.
Naidu’s aides told the media that the AP government did not get an opportunity to do a background verification of the businessman as he came under the quota of TN.
The Central Board of Direct Taxes (CBDT) in a press release has termed the stash unearthed from the residence and offices of Sekhar Reddy as “the biggest ever black money recovered so far from anyone after the demonetization drive on November 8”.
According to I-T officials, Reddy owned up the entire money recovered from his places as that of his own money and that he would submit accounts for it in the returns soon. But the officials pointed out that he hasn’t mentioned this gold and money in his past returns.
Moreover, the Rs 24 crore cash recovered on Friday night from Reddy’s driver is being investigated.
Sekhar Reddy, who was a small sand contractor 18 years ago, used to supply sand and gravel to building contractors with a little investment of Rs 20,000. First he joined the DMK and later the AIADMK. He rose in ranks and built a financial empire in and out of Tamil Nadu. He also used to have access to several ministers, officials and powerful people in AIADMK.
AP Endowments Minister Manikyala Rao told this newspaper that it was untenable to retain Sekhar Reddy on TTD after the developments.