File photo of TDP Rajya Sabha MP Y S Chowdary

NEW DELHI: In its searches conducted on TDP Rajya Sabha MP Y S Chowdary, the former minister of state for science and technology in the NDA government till March 2018, officials of the Enforcement Directorate have seized documents that revealed Rs 5,700 crore of bank loan frauds by companies controlled by Chowdary and his associates.

Chowdary has been summoned for questioning at the ED office on 27 November. The ED has also seized six high-end luxury cars from the MP’s residential premises in Hyderabad on Friday, including a Ferrari , Range Rover, Benz etc., all registered in the names of shell companies. Documents seized from the group companies revealed that the MP and his associates operated at least 120 shell companies which are allegedly involved in money laundering activities.

On Friday, ED officials conducted searches on eight locations in Hyderabad and Delhi in connection with the Rs 5,700 crore of alleged bank frauds by his Sujana Group of companies and other shell entities. Documents recovered from one of the premises searched revealed, the MP’s group entities had pending ED, CBI and DRI cases.

“Verification conducted with the documents and records seized indicated that BCEPL (Best & Crompton Engineering Projects Ltd), Chennai along with other group companies of Sujana Group were functioning under the Chairmanship of Y Satyanarayana Chowdary, a sitting Rajya Sabha MP of TDP,” ED claimed.

The directors of the Sujana group entities have in their statement before the ED said that they worked under the instructions of Y S Chowdary for all transactions related to group companies. The ED has also seized e-mail correspondences from the group directors to corroborate these evidence.

