Gold rush in Ballari, CCB raid on mine baron Reddy's home

Ballari: Central Crime Branch (CCB) officials from Bengaluru swooped down on the palatial residence of mining baron and former minister Gali Janardhan Reddy in Ballari on Thursday in a money laundering case, in which Mr Reddy is accused of taking Rs 20 crore to strike a deal with Enforcement Directorate(ED) officials, to drop the case against a Bengaluru-based firm involved in a ponzi scheme.  

Sources said the sleuths entered the mansion at around 6 am  when Mr Reddy's wife Ms Lakshmi Aruna was inside, along with her father Mr Parameshwar Reddy and mother Ms Nagalakshamma.  

It is alleged that Syed Ahmed Fareed, founder of the firm, Ambidant Marketing Pvt. Ltd, paid Mr Reddy Rs 20 crore - Rs 2 crore in cash and 57 kg in gold bullion worth Rs18 crore - by laundering it through two jewellery firms to escape from the ED's clutches.

Mr. Fareed is in the dock for cheating thousands of investors after promising them high returns and failing to deliver. It was while investigating the businessman that the police stumbled upon the payments made to Mr Reddy.  

Soon after the arrival of CCB cops at Mr Reddy's residence, his close confidante and Molakalmur BJP MLA Mr B Sriramulu and former YSR Congress legislator from Rayadurg in Andhra Pradesh Mr Kapu Ramachandra Reddy arrived at the place. Sources said the CCB sleuths were up against Mr Reddy's mother-in-law Ms Nagalakshamma, who reportedly was upset with them for searching the residence on a festival day. Mr Sriramulu too questioned the sleuths for conducting the search without proper intimation.