At issue is a contract worth over Rs 300 crore awarded to Padmavathy Hospitality and Facilities Management Services.

Did former TN Chief Secy Rama Mohana Rao use position to help companies connected to son Vivek
news IT Raid Monday, December 26, 2016 - 17:39

Fresh allegations of wrongdoing have emerged against former Tamil Nadu Chief Secretary Rama Mohana Rao. Just days after officials of the I-T department raided the residences and offices of Rao, his son and other relatives, a Times Now investigative report by Shabbir Ahmed revealed that contracts from the Tamil Nadu government had been awarded to a company bearing links to the Chief Secretary’s son Vivek Papisetty.  

Times Now reported that a company named Padmavathi Hospitality and Facilities Management Services, based out of Andhra Pradesh, had been awarded a three-year contract by the Directorate of Medical Education for housekeeping, cleaning and security services, at an annual cost of around Rs 113 crore.

The report stated that the Managing Director of Padmavathi Hospitality, Bhaskar Naidu, has also been appointed as a director in another concern called Swan Facilities Services, whose owner is Vivek. Swan Facility Services was one of the concerns raided by I-T officials, the report stated.

In the wee hours of last Wednesday, officials of the I-T department raided Rao’s Anna Nagar residence, 13 other properties owned by him and his relatives, and his office at the Tamil Nadu Secretariat. According to reports, officials seized Rs 30 lakh in new currency, 5kg gold and documents with details of undisclosed assets worth Rs 5 crore.

A day after the raids, Rao was dropped as Chief Secretary of the state and was replaced by Girija Vaidyanathan. On Saturday, the bureaucrat was admitted to the Sri Ramachandra Medical Centre in Chennai following complaints of chest pain.