K V Rao, Chairman and Managing Director of Kakinada Seaports Limited, has lodged a complaint with the Andhra Pradesh Crime Investigation Department (CID) accusing YSRCP Rajya Sabha MP Vijay Sai Reddy and senior officials of the Aurobindo Group of forcibly acquiring a significant stake in Kakinada Seaport and Kakinada SEZ.
The FIR alleges that YSRCP chief and former Chief Minister Y S Jagan Mohan Reddy orchestrated the transfer of shares under duress. Rao claims he was coerced into transferring shares through threats of legal action against him and his family.
Rao states that after the YSRCP came to power in 2019, audits, including a forensic review, were ordered on Kakinada Seaports Limited. The company served as the concessionaire for the development and operation of Kakinada Deep Water Port. According to the FIR, the audit reportedly uncovered accounting discrepancies that deprived the government of approximately ₹1,000 crore in revenue between 2014-15 and 2018-19.
In May 2020, Rajya Sabha MP Vijay Sai Reddy allegedly informed Rao that Vikranth Reddy, the son of MP Y V Subba Reddy, would facilitate the acquisition of shares. Rao was reportedly told the shares were being acquired for Andhra Pradesh Chief Minister Jagan Mohan Reddy.
Despite Rao’s attempts to meet with Jagan Mohan Reddy, he claims he was unsuccessful. The shares were ultimately transferred to Aurobindo Realty and Infrastructure Pvt Ltd, which is now known as Auro Infra Private Limited. Rao alleges that 41.12% of Kakinada Seaports Limited, valued at ₹2,500 crore, was acquired for only ₹494 crore.
Rao further alleges that the deal was overseen by Sharath Chandra Reddy, a director at Aurobindo Pharma, and Vikranth Reddy. In September 2020, after the alleged acquisition, Rao was taken to meet Jagan Mohan Reddy, who reportedly instructed him to comply with Vikranth Reddy’s directives.
The allegations bring to light serious accusations involving political and business elites. The CID is expected to investigate the claims thoroughly, as the case involves large-scale financial and administrative implications. Further updates are awaited as the investigation unfolds.
Source: The Economics Times
