ED raids 8 locations in illegal sand mining case, unearths Rs 1.53 crore cash

Hyderabad: The Enforcement Directorate conducted multi-city searches at eight locations in Hyderabad, Jaipur, and Coimbatore on May 26 under the Prevention of Money Laundering Act, targeting firms and individuals linked to alleged illegal sand mining in Andhra Pradesh, the agency said on Thursday.

According to an ED press release, searches were carried out at the official premises of GCKC Projects and Works Pvt. Ltd., Prathima Infrastructure Ltd., and Turnkey Enterprises Pvt. Ltd. Residential premises of Boinipally Srinivas Rao, Ashok Kumar, and V.G. Venkata Reddy in Hyderabad and Jaipur, as well as a farmhouse belonging to Boinipally Srinivas Rao, were also covered.

The ED initiated its investigation based on an FIR registered by the CIU, Anti-Corruption Bureau, NTR District, Vijayawada, against V.G. Venkata Reddy, then Director of Mines & Geology, along with M/s Jaiprakash Power Ventures Ltd., Prathima Infrastructure Ltd., and GCKC Projects and Works Pvt. Ltd. The FIR alleged various violations in sand mining operations, including illegal mining and breaches of tender provisions and agreements.


The agency said investigation revealed that District Level Sand Committees formed by the Supreme Court had found two types of illegal excavations by JPVL, GCKC Projects and Works Pvt. Ltd., and Prathima Infrastructure Ltd. - excavation beyond permitted depth and mining from areas not authorised in permits.

Following this, the Office of the Director, Mines & Geology issued several show cause notices to the companies, followed by demand notices. ED said analysis of these notices showed that the DMG raised demand notices amounting to Rs 2,407.70 crore against the three entities.

The searches resulted in the seizure of Indian currency worth Rs 1.53 crore, foreign currency of 1,800 USD, silver bullion valued at Rs 1.29 crore, several digital devices, and incriminating documents. The documents included details of movable and immovable properties held in the names of the accused persons and their family members, the ED release stated.

Further investigation is underway, the agency added.