CBI raids former Vizag MLA Malla Vijay Prasad's residence

Wednesday, March 16, 2016

Malla Vijay Prasad
Malla Vijay Prasad

The Central Bureau of Investigation (CBI) held raids at the residence of former Visakhapatnam MLA Malla Vijay Prasad today. They have seized cash worth Rs. 44 lakhs so far.

It is alleged that Malla Vijay Prasad had raised money from depositors in the form of chitfunds claiming to provide higher interests, and later diverted the money to his personal accounts in violation of the Reserve Bank of India guidelines.

Malla Vijay Prasad was a former MLA in Visakhapatnam district. After the bifurcation of the State, he quit the Congress party and shifted loyalties to the YSR Congress Party.

The CBI raids on the offices of the Welfare Group across the country simultaneously came following the directions of the Jharkhand High Court where in depositors have filed petitions alleging that the Welfare Group failed to return the money and defrauded them.

The CBI is conducting raids on 82 offices in 33 locations simultaneously in Odisha, Chhattisgarh, Bihar, Jharkhand, Telangana and Andhra Pradesh.

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