Court okays proceedings against Ramoji Rao

Senior counsel T R Andhyarjuna and S S Prasad, appearing for the state, submitted before the Bench that the magistrate had refused to proceed with the complaint on the ground that the matter was pending before the apex court.

Senior counsel Nageshawara Rao, appearing for Margadarsi Financers, owned by Ramoji Rao, contended that there was a delay on the part of the petitioners in moving the apex court. The state government had challenged the order of the high court which had upheld the trial court decision stalling the proceedings saying that the matter was pending before the apex court.

If held guilty, Rao could be imprisoned for two years and asked to pay a fine equal to double the amount collected from the investors, according to the provisions of the Reserve Bank of India Act.