ARREST OF SRI NARA CHANDRABABU NAIDU IN CR NO
29/2021 U/S 120-B, 166, 167, 418, 420, 465, 468, 471, 409, 201, 109, R/w
34 & 37 IPC Sec 12, 13, (2) R/w 13(1) (c) & (d) of Prevention of
Corruption Act 1998 OF CID PS AP MANGALAGIRI
On 09.09.2023 at 06.00 Hrs at RK Function Hall, Nandyal the CID SIT
officials have arrested the prime accused Sri Nara Chandrababu
Naidu, Former Chief Minister, of A.P., in connection with the alleged
fraud in Skill Development Corporation involving approximately Rs. 550 Crores. This case revolves around the establishment of clusters of Centers of Excellence (CoEs) in the state of Andhra Pradesh, with a total estimated project value of Rs. 3300 Crores. The alleged fraud has caused huge loss to the Government of Andhra Pradesh in excess of 300 crores
The investigation has revealed serious irregularities:
1. Before any expenditure by private entities, the GoAP/APSSDC
provided an advance of Rs. 371 Crores, representing the entire
10% commitment by the government.
2. Most of the money advanced by the government was diverted
to shell companies through fake invoices, with no actual delivery
or sale of the items mentioned in the invoices.
3. A portion of the funds was used to create the CoE clusters, a
departure from the official procedure, while the rest was routed
through shell companies.
4. The investigation implicates prime accused Sri Nara Chandra
Babu Naidu, along with the Telugu Desam Party, as beneficiaries
of the misappropriated funds.
5. Sri Nara Chandrababu Naidu is considered the principal
conspirator behind the scheme, orchestrating the transfer of
public funds to private entities via shell companies, resulting in a
loss to the public exchequer and private gains.
6. Sri Nara Chandrababu Naidu possesses exclusive knowledge of
the transactions leading to the issuance of government orders
and memoranda of understanding, making him a central figure in
the investigation.
7. The ultimate use of the misappropriated funds, including cash
holdings with individuals like Vikas Khanvilkar, requires further
examination.
8. Key documents related to the case have gone missing, Sri Nara
Chandrababu Naidu and other individuals being primary
suspects.
9. The investigation is focusing on locating the misappropriated
funds, making custodial interrogation of Sri Nara Chandrababu
Naidu necessary.
10. The material including statements of public officials recorded
U/s164 CrPC clearly points to the involvement of Mr. Chandra
babu Naidu as the principal decision maker to release the money
in advance.
11. The charges in this case carry penalties of more than 10 years of
imprisonment, and given the deep-rooted conspiracy, custodial
interrogation is deemed necessary to uncover all aspects of the
financial fraud.
The role of common player in this case and associated
investigation more particularly the complicity of Sri. Nara
Chandrababu Naidu is required to be further elicited. Hence
custodial investigation is deemed necessary.
In this case the other agencies ED & GST have already
investigated. Since it is deep rooted economic offence, a thorough
and deep investigation is done by duly following all the criminal
procedures. All the laws and subject matters are deeply examined and the relevant material will be placed before the competent court. The entire offence has occurred in the knowledge of the prime mover, conspirator and final beneficiary of defalcation money.
He is the former chief Minister of AP and his influence over the
witnesses and other accused has come on to record. His arrest is
compulsory because of his position and it is clearly visible that he is
trying to thwart further investigation and possible tampering of
evidence.
