TN's Sekar Reddy taken into custody by Enforcement Directorate

Sekar Reddy, verified PWD contractor, who was arrested by CBI last year in connection with holding huge amounts of unaccounted income, has been taken into custody again. This time by the Enforcement Directorate.

Sekar Reddy was released on bail in the CBI case recently.

KSVV Prasad, joint director of ED-Chennai, told ET:"Yes, they have been taken into custody." The ED confirmed that Reddy was taken to a metropolitan magistrate late on Monday night.

Sekar Reddy, a sand mining baron, was arrested in December last year for holding about Rs 130 crore, out of which a significant amount was in new currency.

Reddy's arrest led to investigators raiding Rama Mohana Rao, the former chief secretary of Tamil Nadu, and his son Vivek Pappisetty.

An income tax official from the investigation wing said the department is still probing Rao and Pappisetty over amassing unaccounted income.