CBI Summons chiefs of Dalmia, Penna cements in Jagan case

Close on the heels of summoning India Cements’ managing director N. Srinivasan in connection with probe into disproportionate assets case against Kadapa MP YS Jagan Mohan Reddy,

The chiefs of both Dalmia Cements and Penna Cements were asked to appear before the investigating agency on June 15 in connection with the probe, said a CBI official.

The CBI has accused Dalmia Cements of investing at least Rs 95 crore in the businesses of Jagan and Penna Cements group of at least Rs 68 crore in lieu of favours they obtained from the Congress led government when Jagan’s father YS Rajasekhara Reddy was the chief minister.

While Dalmia Cements secured limestone mines, Penna Cements group got bauxite mines in Andhra Pradesh during YSR regime.

The investigating agency has accused Jagan of amassing huge wealth by misusing the office of his late father, who was chief minister for six years till September 2009. The CBI accused Jagan of weaving a web of business connections to profit from his father’s influence. In all, Jagan had mobilized at least Rs 1,172 crore from various investors as a bribe amount, the agency said.

While the government doled out favours to various companies including Hetero group, Aurobindo Pharma, Penna Cements group, Dalmia Cements, India Cements and Ramky Pharma City, Jagan ensured that these companies invested in his businesses, the CBI said in its FIR and charge sheets.

The CBI has so far accused 58 companies in its FIR and named four corporates in three charge sheets filed so far, apart from arresting businessman Nimmagadda Prasad. The agency has also summoned the Ramky group chairman Alla Ayodhya Rami Reddy to appear before it on June 11.