OMC scam:CBI seeks custody of Reddy's aide
Hyderabad: The CBI probing the Obulapuram Mining Company (OMC) scam involving mining baron and jailed former Karnataka minister Gali Janardhan Reddy, today sought custody of his personal assistant K Mehfuz Ali Khan.
Khan, the seventh accused in the OMC case, was today remanded to judicial custody till October 17 by a CBI special court here after his production before it on a prisoners transit warrant from Bangalore.
Seeking 14 days custody of Khan, CBI informed the court that as per it investigation, Khan was also involved in the business of illegal mining and "he was dealing in many of the shady transactions of Janardhan Reddy and other accused and knew about monetary transactions of the illegally mined iron ore (involving OMC)".
The central agency further claimed that various bank accounts showing heavy transactions in the name of Khan were required to be shown to him and he be questioned about the details of flow of money.
The CBI in its petition submitted that the custodial interrogation of Khan was essential to find out facts pertaining to modus operandi adopted by him in connivance with Janardhan Reddy and OMC and to identify his accomplices in the crime, to identify the buyers of the illegally mined iron ore, which the agency had claimed was actually mined in Karnataka but was shown to have been mined in Andhra Pradesh.
The agency also sought to interrogate Khan to ascertain the names of public servants with whom he and others allegedly had entered into conspiracy to carry out illegal mining.
The CBI also said that it wanted to confront Khan with the evidence collected so far and submitted that investigation of this case was at a crucial stage, adding "it also wanted to ascertain the flow of funds of the illegally acquired wealth and details of investments made in foreign Companies".
The court posted the matter to October 8 to enable the defence to file its counter.
The CBI, which is probing alleged illegal mining and irregularities in allotment of mining leases to OMC, had arrested Janardhan Reddy and Srinivas Reddy on September 5 last year from Bellary and later in a charge sheet filed before a CBI court in December last had claimed that illegal mining allegedly involving Reddy-owned OMC had resulted in a loss of Rs 5,100 crore to the state exchequer.