Home / News / India /  BS-IV vehicles scam: ED attaches properties of ex-MLA Prabhakar Reddy

New Delhi: The Enforcement Directorate (ED) has attached properties worth more than 22 crore of Tadipatri municipality chairman and Telugu Desam Party former MLA J.C. Prabhakar Reddy and his close associate C. Gopal Reddy in a case related to an alleged BS-IV vehicles scam.

Jatadhara Industries Pvt , “controlled" by Reddy and C Gopal Reddy (alleged to be a close associate of Reddy and a civil contractor from Tadipatri) and others in “contravention" of the apex court’s order purchased BS-III vehicles from Ashok Leyland Ltd at a discount and “fraudulently" registered the same as BS-IV vehicles by fabricating the invoice copies, the federal agency alleged. The agency said it was also probing the role of the automaker in the case.

In March 2017, the Supreme Court ruled that vehicles that were not compliant to BS-IV emission norms should not be sold in India by any manufacturer or dealer from April 1, 2017. The registration of such vehicles was also prohibited from the same date, the Enforcement Directorate said in a statement.

A probe found that some of the registrations were done in Nagaland, Karnataka and Andhra Pradesh, it said.

ED has gathered evidences in the form of fabricated invoices from RTO authorities in Nagaland and original invoices issued by Ashok Leyland as scrap for the some vehicles and established the crime.

“The crime proceeds generated by owning/plying and/or selling these vehicles have been quantified as 38.36 crore," it said.

As a result of the probe, movable properties of Rs. 6.31 crore consisting of bank balances, cash, jewellery and receivables as well as 68 number of immovable properties to the extent of Rs. 15.79 crorebelonging to JC Prabhakar Reddy and his family member and C Gopal Reddy and his family members have been attached.

“Further investigation is in progress, including the role of Ashok Leyland in the entire scam," the ED said.

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