Enforcement Directorate Raids Multiple Locations in Telangana Over Alleged Cricket Association Funds Misappropriation
Searches Uncover Links to Former Cricket Association Officials and Irregularities in Procurement
In a major move, the Directorate of Enforcement (ED) conducted searches at nine locations in Telangana on 21.11.2023 under the provisions of the Prevention of Money Laundering Act (PMLA), 2002. The residences of Gaddam Vinod, Shivlal Yadav, and Arshad Ayub, who served as President, Vice-President, and Secretary of the Hyderabad Cricket Association at various times, were among the locations searched. Additionally, the office premises of SS Consultants Pvt. Ltd. and the residence of its MD, Satyanarayana, were also subject to the operation. The search yielded the recovery and seizure of digital devices, incriminating documents, and unaccounted cash amounting to Rs. 10.39 lakh.
The ED’s investigation stems from three FIRs registered by the Anti-Corruption Bureau (ACB), Hyderabad, and corresponding chargesheets filed by the ACB. The charges relate to the alleged criminal misappropriation of funds belonging to the Hyderabad Cricket Association, amounting to Rs. 20 Crore. The chargesheets outline serious irregularities in the procurement of DG sets, firefighting systems, and canopies for the Rajiv Gandhi Cricket Stadium in Uppal, Hyderabad. Delays in various works, coupled with escalated costs, budget enhancements, and losses to the Hyderabad Cricket Association, have been highlighted. The investigation revealed that office bearers of the Hyderabad Cricket Association, including the Secretary, President, and Vice-President, in collusion with private entities, allegedly favored specific vendors and contractors at rates exceeding market prices without proper tender processes.
Searches at one of Gaddam Vinod’s premises exposed its use as an office for multiple companies owned or controlled by his brother, Gaddam Vivekanand, a former MP. Additionally, documents seized during the searches suggest that Visaka Industries and its group companies engaged in significant cash transactions related to real estate activities. Instances of receiving cash from various individuals and adjusting entries in the books of these real estate companies were noticed from the seized documents.
The ED’s further investigation is currently in progress as authorities delve deeper into the alleged misappropriation of funds and irregularities surrounding the Hyderabad Cricket Association.
