Tamil Nadu chief Secretary P Rama Mohana Rao, son raided, Rs 30 lakh in new notes

The raids began at 5:30 am, when a team of I-T officials landed at Rao’s residence in Anna Nagar.

Written by Arun Janardhanan | Chennai | Published:December 22, 2016 5:44 am
P Rama Mohana Rao, tamil nadu, tamil nadu raid, raid, income tax raid, demonetisation, demonetisation raid, Tamil Nadu Chief Secretary, money fraud, fraud, money laundering, new notes raid, indian express news, india news Cash seized from mining baron Sekhar Reddy.

THE INCOME Tax department on Wednesday carried out raids at the residence and office of Tamil Nadu Chief Secretary P Rama Mohana Rao, the residence of his son Vivek in the city, and the latter’s in-laws’ house in Chittoor in Andhra Pradesh.

Tax officials said Rs 30 lakh in new Rs 2,000 notes, five kilograms of gold and documents with details of undisclosed assets worth about Rs 5 crore were recovered during the raids carried out at 11 places.

WATCH VIDEO | Income Tax Department Raids Chennai Residence Of Tamil Nadu Chief Secretary Rammohan Rao

The raids began at 5:30 am, when a team of I-T officials landed at Rao’s residence in Anna Nagar. In order to keep the operation secret, the I-T department sought the assistance of paramilitary forces instead of calling the state police personnel.

Raids were also carried out at the houses of Rao’s son in Thiruvanmiyur and daughter in Manapakkam, near the Chennai international airport. At around 2:30 pm, I-T sleuths reached Rao’s office at the State Secretariat where they carried out searches for five hours, till about 7:30 pm.

The other raids went on till night.

A large part of the cash and gold seized were recovered from Vivek’s house and his in-laws’ residence in Chittoor. Sources said multiple cellphones, SIM cards and several documents were seized from Rao’s office.

A senior I-T official told The Indian Express that the raids were linked to the seizure of Rs 132 crore cash (including Rs 34 crore in new notes) and 177 kg gold from mining baron Sekhar Reddy earlier this month. “Documents seized from Reddy’s premises were the major evidence, as they had details linked to Rao. It was a matter of ascertaining locations before launching the raid,” he said.

“Reddy had direct access to both Rao and a senior politician of the ruling party. We couldn’t raid the politician as we don’t have enough evidence to link him to the illegal transactions,” said another senior official.

I-T officials said Reddy was in regular touch with Rao and the politician’s office.

Meanwhile, a day after he was summoned for questioning, Reddy was arrested by the CBI on Wednesday. The CBI has joined the I-T probe into the source of new currency notes.

Officials said the CBI has filed an FIR against Reddy, his relative K Srinivasulu, and Premkumar, an agent who allegedly exchanged old notes for gold bars.

I-T sources said both Reddy and Rao would be booked under the Prevention of Money Laundering Act (PMLA).

The CBI has also launched a parallel inquiry into RBI-Chennai and two leading private banks, which are suspected to have helped Reddy to exchange notes in the first two weeks after demonetisation was announced on November 8.

Meanwhile, Opposition parties have demanded Rao’s immediate dismissal. Stating that the raids were a disgrace for the state, DMK leader M K Stalin said Rao should resign immediately. He also demanded a statement from Chief Minister O Panneerselvam on the issue.

CPI(M) state secretary G R Ramakrishnan demanded Rao’s dismissal and sought a high-level probe against him. PMK founder S Ramadoss also sought legal action against Rao.

However, West Bengal Chief Minister Mamata Banerjee attributed political motive behind the raid. “Earlier the principal secretary of @ArvindKejriwal was raided and harassed. Now I read TN chief secretary also raided… Why don’t they raid Amit Shah and others who are collecting money,” she said in a series of tweets.

Some AAP cadres also protested outside Rao’s residence, alleging that the raids were part of the Centre’s bid to appoint a Chief Minister of their choice.

For all the latest India News, download Indian Express App now

  1. A
    Aryan
    Dec 22, 2016 at 3:05 am
    Career ? What career ? If you believe what Pappu master says then you are the most naive person. If Modi ji has taken money and it was an entry into a diary which is with Income Tax deptt, what are other political parties doing and not pressing for a probe ? If Modi ji has taken money, he must have kept it somewhere and for the benefit for someone. Everyone knows that Modi ji has a very simple lifestyle and he doesn't need crores of Rupees to maintain it. He has no friend and he hardly maintains any relation with his relatives. He has no child and he and his wife is able to take care of herself with her small earning. If that is so, where is that given money hiding and for what ?lt;br/gt;Use some brains and you will easily find gaping s in the calims made by great Pappu !
    Reply
    1. J
      Jim
      Dec 22, 2016 at 3:01 am
      May be career of a political Binami or a Black Money Holder :)
      Reply
      1. S
        Satendra kumar
        Dec 22, 2016 at 6:44 am
        The Tamil Naidu states CM his son was arrested for keeping huge amount of new notes that defiance the money Distruption system should be brought to jurisdiction system of the country.
        Reply
        1. M
          MyTake
          Dec 22, 2016 at 1:02 am
          And Mumu from Bengal crying for this guy!
          Reply
          1. M
            MyTake
            Dec 22, 2016 at 5:14 am
            Real Swachch Bharat campaign started now.
            Reply
            1. P
              Piyush
              Dec 22, 2016 at 3:02 am
              Career in money laundering
              Reply
              1. T
                Tinmu
                Dec 22, 2016 at 6:17 am
                Modiji ki jai. That day is very near when Modiji will put 10 lacs in every indians account. It is written on the wall. Modiji ki Sarkar ki jai.
                Reply
                1. S
                  Soundar
                  Dec 22, 2016 at 4:55 pm
                  20 Poor Tamil labourers were brutally killed by AP police on suion of cutting red sanders but in Tamil Nadu the Andhra fellows Rao and Reddy bas.....ds are looting TamilNadu and we the Tamilians are keeping quiet.
                  Reply
                  1. A
                    Abhishek Dewan
                    Dec 22, 2016 at 5:15 am
                    Mamta and AAP have no shame left. Despite solid evidence and actual recovery of so much wealth, they're calling it politically motivated. Country's politicians had no morals but now it is getting worse. Openly they're coming out in favour of black money
                    Reply
                    1. A
                      Ankush Dey
                      Dec 22, 2016 at 3:25 am
                      Some accounts say 18 L, some say 30 L and some 48 L ... why the reports are not accurate ... even if 18 L or 30 L or 48 L - the amount, in new currency, is very high and can not have been acquired through the queue means ...
                      Reply
                      1. A
                        Anumakonda Jagadeesh
                        Dec 22, 2016 at 1:53 am
                        When one has to stand for hours before ATM to get 1 Rs 2000 Bank Note, how this " Great Chief Secretary" and his Family got Lakhs of Rs . of New Notes? Definitely Nexus with Bank People. Whoever is involved from Banks must be punished severely. See the courage of these people. Even ng of the Currency is intact !lt;br/gt;Dr.A.Jagadeesh Nellore(AP)
                        Reply
                        1. B
                          Babul Roy
                          Dec 22, 2016 at 5:46 am
                          Irresponsible political motivated comments from WB CM Ms Bengerjee.
                          Reply
                          1. B
                            Babul Roy
                            Dec 22, 2016 at 5:48 am
                            Oppositions' open support to corrupt authority and crooks indicates the extent of corruption syndicates in this county.
                            Reply
                            1. B
                              Babul Roy
                              Dec 22, 2016 at 6:40 am
                              Why West Bengal Chief Minister Mamata Banerjee is silent now?
                              Reply
                              1. R
                                Rock
                                Dec 22, 2016 at 3:02 am
                                may be pickpoketer
                                Reply
                                1. B
                                  bmniac
                                  Dec 22, 2016 at 1:51 am
                                  The Law will take its course!
                                  Reply
                                  1. K
                                    Kaliyug
                                    Dec 22, 2016 at 12:31 am
                                    People align themselves with politicians because of the opportunity for corruption, this is just one example from millions. Maharashtra has crooks like Pawar, Chavan, Patil, Deshcrooks etc, they need to be prodded by the CBI, IT and all other agencies. It is about time to put the Gadhav Thackeray also in prison.
                                    Reply
                                    1. K
                                      Kaliyug
                                      Dec 22, 2016 at 12:40 am
                                      People are standing hours at a time to get mere Rs. 5000/-, where are these people coming with tonnes of new currency? This scam is bigger than anything else. The bankers who are giving this money away need to be put in prison. This money came into the hands of the Rao family through the connections, now explain the connections.
                                      Reply
                                      1. D
                                        DayalPrasad
                                        Dec 22, 2016 at 2:16 am
                                        In case of false allegations against P.M Mr.Nardndra Modi made by Rahul hi and Delhi C.M.Mr.Kejriwal why not file a case of Defamation ? Freedom of speech doesn't allow Defamation by laving false allegations against people holding prime plst
                                        Reply
                                        1. J
                                          Jawahar D.R
                                          Dec 22, 2016 at 1:56 am
                                          It may be difficult to escape new notes. He is worth more than what has been captured. If he is arrested and punished IT and govt needs appreciation
                                          Reply
                                          1. J
                                            Jawahar D.R
                                            Dec 22, 2016 at 1:24 am
                                            Looks innocuous raid only 30 lacs cash and 5 cr worth ets. He is in service since 1980. He can show the sources and get away. It appears only a threat for ADMK and not a serious one. Only small people like bankers and subordinates will be punished and the masters of corruption will get away. One has to wait and see what happens to high profile people like Rao, sekar reddy, Janardhanan reddy, etc., Most probably they will get away.
                                            Reply
                                            1. Load More Comments