A special anti-money laundering court in New Delhi on Tuesday attached properties worth Rs 863 crore of YSR Congress leader Jaganmohan Reddy and his associates in connection with its probe into alleged corruption and money laundering in an infrastructure project in Andhra Pradesh.

The court's orders came on a notice of the Enforcement Directorate (ED), issued in March, in which it had slapped separate notices against Jagan and Nimmagada Prasad whose companies were allegedly favoured by the then Andhra Pradesh government (when Jagan's father YS Rajasekhara Reddy was chief minister) in the Vadarevu and Nizampatnam Industrial Corridor (VANPIC).

The project's aim was to develop sea ports and a green field airport in coastal areas of the southern state and industrial corridors in Prakasam and Guntur districts. The current order, under the Prevention of Money Laundering Act (PMLA), has been the largest order for attachment of assets in this case.

The ED had in 2012 registered a criminal probe against the individuals and associated firms based on a CBI FIR in this case. The ED probe had said that there was a 'quid pro quo' in this deal and hence illegal money exchanged hands.

"The court has confirmed the ED order and the agency will soon take possession of these assets," a source privy to the development said.

"Various concessions were extended to the VANPIC project in the form of alienation of huge chunks of assigned government land to the companies floated by Nimmagadda Prasad, development of shipyard, green filed airport, exemptions from levy of stamp duty and registration charges, seigniorage (deed-signing) fee and other undue benefits were extended," the ED probe report had said.