‘The group was carrying out its business with government protection’

Senior Congress leader and former Union Minister P. Chidambaram has said that the recent income tax raids at the premises of industrialist J. Sekhar Reddy and former Chief secretary P. Rama Mohana Rao and the unearthing of large amount of new currency notes showed the emergence of a powerful coterie in the State in the last five years.

Talking to reporters here on Wednesday, he said the alleged exchange of huge amounts of old currencies by Mr. Reddy, a sand mining contractor, and his associates in the State was testimony to the fact how the sand mafia had become so powerful in the last five years and carried out its ‘business’ with complete government protection.

“The coterie, which had been shielded in the last five years, is caught now,” Mr. Chidambaram said. The sand mafia had liberally funded the previous elections in the State, but the media was scared of exposing the illegal nexus, he charged.

Mr. Chidambaram said Mr. Rao had levelled serious charges while reacting to the I-T raids at his residence and at the Chief Secretary’s chamber, and it was for the authorities to respond to the charges.

Defending I-T officials engaging Central Reserve Police Force (CRPF) while carrying out the raids, he said this showed the officials’ faith in the Tamil Nadu police.

On Mr. Rao’s charges that he was held at gun point and was under house arrest, he said he could not say what was right and what was wrong.

On Mr. Rao thanking West Bengal Chief Minister Mamata Banerjee and Congress Vice President Rahul Gandhi, Mr. Chidambaram said Ms. Banerjee had only criticised and condemned the use of Central forces by the I-T officials and not the raid.

To his knowledge, Mr. Gandhi had not made any remarks about the raid, he said.