ED raids properties in Andhra linked to Karnataka Congress MLA, seizes cash, documents

Hyderabad: The Directorate of Enforcement (ED) conducted searches at multiple locations in Karnataka and Andhra Pradesh on February 10, in connection with a money laundering case involving Karnataka Congress MLA Nara Bharath Reddy, Surya Narayana Reddy, and others.

As per official data, ED began the investigation – under the provisions of the Prevention of Money Laundering Act (PMLA), 2002 – based on an FIR registered by Gandhi Nagar Police Station, Bellary in Karnataka. The searches ED revealed a network of incriminating documents, business records, and details of both immovable and movable properties.

Crucial evidence was seized along with unaccounted cash of Rs 31 lakhs, establishing the involvement of Bharath Reddy, his personal assistant, Rathna Babu, and others in mobilising substantial amounts of cash for illegal payments. According to the incriminating evidence, Bharath Reddy mobilised approximately Rs 42 crores in cash over a few months, just before the Karnataka Assembly elections, utilising the funds for unlawful transactions.

The ED investigation also revealed that Sharath Reddy (brother of Bharath Reddy) made undisclosed investments in foreign-based companies. The accused individuals were found to have invested in properties under benami names and obtained suspicious loans from relatives, utilising their bank accounts without their knowledge.

Further investigation is in progress.