I-T sleuths raid Malla Reddy’s residence, family’s edu. institutions

HYDERABAD: Income Tax (I-T) department sleuths on Tuesday searched the residence and offices of institutions owned by minister Malla Reddy and his family members, over suspicions of tax evasion in allotting medical and engineering seats in family-run establishments.

This was the first instance of a Telangana minister being raided, suspected to be a result of the ongoing tussle between the TRS and the BJP.

Malla Reddy and his family own a medical college, hospitals, an engineering college, a private university and other educational institutions.

While a group of officials from Delhi swooped down on his Bowenpally residence in the morning, another team went around the educational institutions.

Searches continued till late Tuesday, with unaccounted cash and documents of financial transactions being seized. Sources said that the minister’s phone, allegedly hidden, was also recovered from a secret location in the house.

As the news of the search broke out earlier in the day, the minister walked out of his house, up to the gate, and waved to his supporters.

A high-voltage drama ensued as TRS workers staged a protest and demanded that the search is stopped immediately. Terming the raid a “witch hunt by the Centre”, they also tried to burn an effigy but the police prevented it and dispersed them from the spot.

The I-T teams, meanwhile, faced stiff resistance when they entered institutions owned by the minister’s family, with officials allegedly trying to stop the I-T officials from conducting a search. However, central armed forces were called in and the I-T officials entered the premises, sources said.