No coercive steps against Margadarsi Chit Fund’s Ramoji Rao: Telangana HC to AP CID

Hyderabad: On Monday, Justice Bollam Vijaysen Reddy of the Telangana High Court directed the Andhra Pradesh Crime Investigation Department (CID) not to take any coercive steps against Ramoji Rao and Ch. Sailaja who run the Margadarsi Chit Fund in Telangana and Andhra Pradesh.

The High Court further directed the AP CID not to make any searches on any of the branches of Margadarsi Chit Fund in Telangana till March 20.

Justice Bollam Vijaysen Reddy was hearing a lunch motion writ petition filed by P. Rajaji, the vice-president of Margadarsi Chit Fund Private Limited, seeking a direction to the AP CID not to take any coercive steps against any of the officials in the Margadarsi branches, especially Ramoji Rao and Ch. Sailaja.

In the arguments, Justice Bollam asked the petitioner's counsel about the maintainability of the writ petition, where the FIRs are registered in AP and the investigation is also done by the AP CID.

Govind Reddy, the special standing counsel for the AP government, informed the court that the petitioners have committed financial fraud in AP and reside in Telangana and that cannot be a reason for the AP CID personnel to make searches on the Margadarsi branches in Telangana and take action against Ramoji Rao and Ch. Sailaja.

The judge adjourned the writ petition to 20 March, directing the AP CID not to take any coercive steps against the petitioners and not to make any searches at Margadarsi branches. The court said a decision will be taken on the maintainability of the writ petition at the next hearing.