High court refuses to cancel Jaganmohan Reddy aide's bail

HYDERABAD: The Andhra Pradesh High Court Wednesday dismissed a petition by the CBI to set aside a lower court order which granted bail to Vijay Sai Reddy, an aide of jailed YSR Congress party leader Y S Jaganmohan Reddy, in illegal assets case.

The high court refused to cancel the bail granted by the Central Bureau of Investigation (CBI) court. It opined that the CBI had failed to produce any material to prove that Vijay Sai Reddy tampered with the evidence.

The high court asked Vijay Sai Reddy, who is the number two accused in the case, to cooperate with the CBI in the investigations.

Vijay Sai Reddy, who is an auditor of Jaganmohan Reddy's companies, was released on bail April 30.

The CBI court April 13 had granted bail but it was cancelled April 20 by the high court, which asked the lower court to hear the arguments of both the parties afresh. The court later granted him bail once again.

Vijay Sai Reddy was arrested by the CBI Jan 2 and the agency believes he is the brain behind quid pro quo investments made into Jagan's companies by the firms which were allegedly benefited by various controversial orders of his father and then chief minister Y.S. Rajasekhara Reddy.

Vijay Sai Reddy figured in all the three chargesheets filed by the CBI so far.

The CBI booked Jagan and 72 companies and individuals in August last year on the directions of the high court.