CBI arrests JD(S) politician KC Veerendra, after Rs 5.7cr, 28kg gold seized from his home
The Central Bureau of Investigation (CBI) arrested JD(S) politician and alleged hawala operator KC Veerendra on Monday, two days after the IT department seized Rs 5.7 crore in new currency from a secret chamber in a bathroom in his house.
According to media reports, Veerendra, the son-in-law of actor Doddanna, was arrested from Challakere in Karnataka’s Chitradurga district and has been sent to CBI custody for six days.
The CBI also registered an FIR against State Bank of India, State Bank of Mysore, Kotak Mahindra Bank, and ICICI Bank – for allegedly diverting new currency to private individuals – as well as two middlemen, reported The Hindu. The report adds that the FIR, however, does not name any individual officials from any of the said banks.
On Saturday, the Panaji Directorate of the Income Tax department discovered a secret chamber in the bathroom of Veerendra, which evidently was used to store cash and gold.
According to a press release, 28kg of gold bullion, about 4kg of gold and jewelry, Rs 5.7 crore in new Rs 2000 currency notes, and Rs 90 lakh in old Rs 100 and Rs 20 notes were seized from the chamber.
The search operation at Veerendra’s house by the Karnataka and Goa arms of the I-T department was part of search operations carried out in a number of casinos in Goa, reports Deccan Herald.
Meanwhile, the Enforcement Directorate arrested 7 men in Bengaluru, who were involved in conversion of old currency into new. Rs 93 lakh in new currency was seized from them, reported ANI.