‘Benami’ Agri Gold assets seized
Firm directors reveal 70 hidden assets, HC orders their seizure
AP CID officials on Friday informed the Hyderabad High Court that the directors of Agri Gold Group of Companies have revealed during custodial interrogation that they had 70 more properties under benami names.
A division bench comprising acting Chief Justice Dilip B. Bhosale and Justice S.V. Bhatt was hearing a petition by the Telangana Agri Gold Customers and Agents’ Welfare Association, represented by its president A. Ramesh Babu, seeking probe either by the CBI or the Enforcement Directorate into the Agri Gold deposits scam.
Additional advocate-general of AP Dammalapati Srinivas submitted that after their arrest, the chairman and directors of the company revealed details during the custodial interrogation of 70 new properties which are under benami names other than properties attached so far.
He said that during the probe it was revealed that the management had diverted `10 crore of deposits.
The bench said, “Since the beginning of the case, we are insisting on the arrest of the directors. But the probing agency has dodged the case. Had the accused been arrested immediately, there would have been a chance of unearthing several properties and money allegedly diverted by the management.”
Observing that the chairman of the company has cheated the court by concealing the details of prop- erties, the bench pointed out that `10 crore was a small amount and suspected diversion of huge amounts.
Mr Srinivas said that several depositors lodged cases against the company following the bouncing of cheques issued for repayment of `700 crore.
Warning the company management of severe consequences for concealing the property details, the bench said that even now they had an opportunity to disclose the details voluntarily.
The bench ordered the AP government to immediately seize the 70 newly-identified properties of Agri Gold and issue the notification within a day or two.
The bench directed the CID to find out whether funds were diverted through benami names or through suitcase companies. The bench adjourned the hearing for two weeks.
When TS counsel Sharath Kumar complained about non-cooperation by AP CID, the bench told AP counsel that both agencies have to cooperate in the probe in view of the interests of depositors.
Agri Gold advocate said Andhra Bank had issued a notification to auction the company's head office at Hyderabad for 25 crore.
The advocate for the three-member committee said terms and conditions for auction of properties have been finalised and earnest money had been reduced to attract more bidders.