The ED also alleged that the YSR government gave many benefits to the Penna group.

ED names Jagan Reddy and Penna group chairman in charge sheet alleges quid pro quo deal
news Crime Friday, May 05, 2017 - 08:35

The Enforcement Directorate (ED), filed a charge sheet before a court on Thursday, with regard to the Penna Cements case, which also named YSRCP chief YS Jaganmohan Reddy as an accused.  

Along with Jagan, YSRC MP Vijaya Sai Reddy, and Penna Cements Limited owner Penna Pratap Reddy were also named as accused in a money laundering case. 

Reports add that ED officials accused the three people of laundering money illegally, when Jagan's father YS Rahasekhara Reddy was the Chief Minister of Andhra Pradesh. 

The Times of India quotes the ED charge sheet, and states that the YSR government allotted 231 acres in the state's Anantapur district to Penna for setting up a cement plant.

The ED alleged that another 304 hectares in Kurnool district, 822 acres in Ranga Reddy district were also given to the group. Several concessions to the Penna group's Pioneer Hotel in Banjara Hills were also allegedly given by the state government.

In exchange for all these alleged benefits, Penna Pratap Reddy is said to have invested Rs 68 crore in Jagan's companies. 

Last week, in a major relief for Jagan, a special court in Hyderabad dismissed a petition by the CBI, that sought to cancel the Andhra Pradesh Opposition leader's bail. 

The CBI had moved court in the last week of March, seeking to cancel Jagan's bail in the disproportionate assets case.

The CBI had sought to cancel his bail on the grounds that he could influence witnesses, citing an interview by former state Chief Secretary Ramakanth Reddy to Sakshi TV, where he said that he lacked confidence in the agency’s investigation in the DA case.  

In his defence, Jagan's advocates had argued that the politician was not involved in deciding the content of the channel, and said that all programming was decided by an editorial board in Sakshi TV, comprising journalists.

Jagan spent 16 months in jail, after being arrested in May 2012, in the DA case when he was an MP.

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