ED Ties Rs 144 Crore to Telangana Medical Insurance Scam | Hyderabad News
The assets of the IMS Director and other IMS officials, their family members, and medical insurance plan drug providers were attached.
ED has launched a money laundering investigation based on eight FIRs registered by the Telangana Anti-Corruption Bureau against those accused of violations in the bidding process, embezzlement of public funds and losses for the Public treasury in the amount of over Rs 211 crore.
ACB alleged that the accused conspired with local suppliers of drugs and medical equipment and issued purchase orders to select suppliers deviating from standards.
The standards were published in 2012 by the government to streamline the procurement process to prevent leakage of funds.
It is alleged that the then IMS Director, Dr Devika Rani, in collusion with the Joint IMS Director, and other IMS staff blatantly violated all GO standards and procedures. prudent office, and issued purchase orders to companies mainly owned by Supplier K Srihari Babu and also benami companies set up by Dr Devika Rani, P Rajeshwar Reddy.
“Medical items were bought at grossly inflated prices. Dispensary indentations were made and stock registers were made to siphon off drugs. Dr K Padma, co-director of IMS, siphoned off drugs and supplies on behalf of medical camps. The patented products were sold on a cyclical basis and eventually bought by IMS at 4 to 5 times their normal market rate.Dr Devika Rani, Nagalaxmi pharmacist and their families in order to overlay and hide the bribe money have entered into a conspiracy with PMJ Jewelers and over a period of one year routinely funneled their bribe money and bought expensive jewelry worth around Rs 6.28 crore without proper invoices ”, said ED.
The accused also made large cash advances to purchase prime real estate. Cash was also deposited into their bank accounts at regular intervals, and when layered, it was used to purchase real estate.
“The money laundering investigation revealed that officials of IMS, Telangana, some vendors pocketed huge amounts of bribes and profits exceeding Rs 200 crore during the period from from 2015-2016 to 2018-2019. These proceeds of crime have been well distributed. by showing excess profits or an injection of cash into their personal bank accounts or into the accounts of various shell companies, ”ED said. ACB had arrested the accused and all are now on bail.
ED has identified 131 real estate assets comprising 97 open plots, 6 villas, 18 commercial stores, 6 farmlands, 4 apartments in and around Hyderabad, Telangana, Andhra Pradesh, Bangalore and Noida. ED also identified a large volume of movable property in the form of securities and term deposits acquired by these defendants.
ED has provisionally attached assets worth Rs17 crore of Dr Devika Rani, Rs 2. 4 crore of K Nagalaxmi, Rs 74 lakh of Dr Padma, Rs 119 crore of Mr K Srihari Babu of Omni Group, Rs 4 crore of Pandiri Rajeshwar Reddy – all totaling toRs 144 crore.