T N Chikkarayappa, the suspended managing director of Cauvery Neeravari Nigam Ltd, possesses Rs 3.5 crore worth of illegal wealth, the Anti-Corruption Bureau (ACB) told the High Court of Karnataka on Thursday.
The ACB made the submission during the hearing of a petition filed by Chikkarayappa for quashing of the FIR registered by the ACB. The court refused to quash the FIR and directed him to approach the lower court for remedy.
When Justice Anand Byrareddy asked the ACB why a copy of the FIR was not given to Chikkarayappa, Additional Advocate General (AAG) A S Ponnanna agreed to furnish a copy immediately. Appearing for the anti-corruption agency, the AAG said that the estimation of the assets seized by the ACB during the raids exceeded that impounded by the Income Tax Department. There is "prima facie evidence" that the official amassed assets disproportionate to his known sources of income, he argued.
Ponnanna further said the ACB had learnt about a farmhouse owned by Chikkarayappa, which wasn't there in the I-T report. The official's wife had Rs 2 crore worth of assets. "Investigation is still in a preliminary stage. Chikkarayappa's salary does not exceed Rs 1 lakh per month," he contended.
The counsel for Chikkarayappa countered the ACB's claims, saying the bureau had been "deliberately escalating" the value of his client's assets. The counsel said that the I-T department had valued the properties at Rs 20 lakh. It estimated the value of a clock tower at Chikkarayappa's house at Rs 12,000, whereas the ACB valued it at Rs 36,000. "My client was not named in the FIR registered by the CBI based on the I-T report. My client is sandwiched between the two investigating agencies: CBI and ACB. He was suspended without reasons being given," he said.
The counsel urged the court to direct the ACB not to take "coercive action" against his client. Justice Byrareddy, however, directed Chikkarayappa to approach the lower court.
The ACB made the submission during the hearing of a petition filed by Chikkarayappa for quashing of the FIR registered by the ACB. The court refused to quash the FIR and directed him to approach the lower court for remedy.
When Justice Anand Byrareddy asked the ACB why a copy of the FIR was not given to Chikkarayappa, Additional Advocate General (AAG) A S Ponnanna agreed to furnish a copy immediately. Appearing for the anti-corruption agency, the AAG said that the estimation of the assets seized by the ACB during the raids exceeded that impounded by the Income Tax Department. There is "prima facie evidence" that the official amassed assets disproportionate to his known sources of income, he argued.
Ponnanna further said the ACB had learnt about a farmhouse owned by Chikkarayappa, which wasn't there in the I-T report. The official's wife had Rs 2 crore worth of assets. "Investigation is still in a preliminary stage. Chikkarayappa's salary does not exceed Rs 1 lakh per month," he contended.
The counsel for Chikkarayappa countered the ACB's claims, saying the bureau had been "deliberately escalating" the value of his client's assets. The counsel said that the I-T department had valued the properties at Rs 20 lakh. It estimated the value of a clock tower at Chikkarayappa's house at Rs 12,000, whereas the ACB valued it at Rs 36,000. "My client was not named in the FIR registered by the CBI based on the I-T report. My client is sandwiched between the two investigating agencies: CBI and ACB. He was suspended without reasons being given," he said.
The counsel urged the court to direct the ACB not to take "coercive action" against his client. Justice Byrareddy, however, directed Chikkarayappa to approach the lower court.