Disproportionate assets case: Jagan Mohan Reddy to stay in jail during Andhra Pradesh by-poll

Hyderabad: A Central Bureau of Investigation (CBI) trial court in Hyderabad has extended the judicial custody of YSR Congress chief Jagan Mohan Reddy till June 25 in the alleged disproportionate assets case. The CBI has also filed a petition for a narco analysis test on Jagan.

This comes as a big setback for Jagan as he will remain in jail during Tuesday's crucial by-elections in Andhra Pradesh. Jagan was present in the court when the court extended his custody. His mother Vijayamma, who has campaigned on his behalf, was also present.

Jagan has complained that he was deliberately brought in a van to make a 'spectacle' of him. He has threatened to go on a hunger strike if not provided with security while being brought from the jail.

Jagan was arrested on May 27. The High Court had then given the CBI seven days to question him about money laundering and the hawala racket.

The Andhra Pradesh High Court had on Friday given Jagan's custody to the CBI for two days till June 10 and directed the agency to question him during the day in presence of his lawyers.

The CBI had sought the custody of Jagan, saying it needed to confront him over the facts emerging out of the investigation into the Vodarevu and Nizampatnam Port and Industrial Corridor (Vanpic) project.

The agency also informed the court that the accused did not cooperate with the agency during his last 5-day custody that ended on June 7.

The central probe agency wanted Jagan's custody to verify the alleged investments of Rs 850 crore made in his businesses as part of quid-pro-quo transactions.

The CBI also sought to gather information on alleged transfer of funds from different companies and countries that finally reached the firms owned by Jagan.

It so far filed three chargesheets in the case and has accused Jagan of getting investments of several crore rupees from firms into his own businesses when his father late YS Rajasekhara Reddy was the Chief Minister of Andhra Pradesh.

According to the FIR filed by CBI in August last year, the Jagan-owned Jagati Publications Pvt Ltd that runs Sakshi daily was incorporated on June 14, 2006 and accumulated business losses of Rs 350 crore in four years.

(With additional information from PTI)

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