ED Summons Former Indian Cricketer Mohammad Azharuddin

Cricketer-turned-politician Mohammad Azharuddin was summoned by the Enforcement Directorate (ED) in a money laundering case linked to the Hyderabad Cricket Association.

Mohammad Azharuddin, the former president of the HCA, is accused of misappropriating funds during his tenure. This is the first summons issued to the Congress leader, requiring him to appear before the ED on Thursday. The former India captain, however, didn’t appear in the office and sought time.

According to reports, the issue concerns the purported embezzlement of ₹20 crore, which was allotted for the purchase of firefighting apparatuses, diesel generators, and canopies at the Rajiv Gandhi Cricket Stadium located in Uppal, Hyderabad.

Based on three FIRs filed by the Hyderabad Anti-Corruption Bureau (ACB) and the accompanying charge sheets filed by the ACB regarding the criminal misappropriation of ₹20 crore in funds belonging to the Hyderabad Cricket Association, the Enforcement Directorate opened an investigation into the matter.

The ED sources revealed that the charge sheets mentioned allegations of serious irregularities in the procurement of DG sets, firefighting systems and canopies for Rajiv Gandhi Cricket Stadium constructed in Uppal, Hyderabad.

It has been ascertained that despite deadlines, some tasks were significantly delayed, resulting in increased expenses and budget upgrades, as well as losses to the Hyderabad Cricket Association.

The investigation also revealed that "office bearers of the Hyderabad Cricket Association, including its then Secretary, President, and Vice-President, and others, in collusion with private parties, arbitrarily got various tenders and works allotted to preferred vendors/contractors at higher than market rates without following proper tender processes, and in many cases even before receiving quotations." Many contractors received advance payments, but they did not complete any work," the ED stated.

The Enforcement Directorate had conducted searches under the provisions of the Prevention of Money Laundering Act (PMLA), 2002 at nine locations in Telangana on November 21, 2023.

The searches were conducted at the residences of Gaddam Vinod, Shivlal Yadav and Arshad Ayub who served as President / Vice-President / Secretary of Hyderabad Cricket Association at various points of time.

Searches were also conducted at the office premises of SS Consultants Pvt. Ltd. and the residential premises of its MD, Satyanarayana.

Following search operations, digital devices, incriminating documents, and Rs. 10.39 lakh in unaccounted cash were found and seized. After a search of one of Gaddam Vinod's properties, it was discovered that multiple businesses owned or controlled by his brother, former MP Gaddam Vivekanand, were using the space as an office.

Documents implicating Visaka Industries and its group firms were found during the searches, and it was discovered that these entities "have been regularly indulging in large value cash transactions and cash payments related to their real estate activities".

According to officials, the confiscated records show "many instances of receipt of cash from various persons and passing of adjustment entries in such real estate companies' books for accommodating such transactions."Documents implicating Visaka Industries and its group firms were found during the searches, and it was discovered that these entities "have been regularly indulging in large value cash transactions and cash payments related to their real estate activities."

According to officials, the confiscated records show "many instances of receipt of cash from various persons and passing of adjustment entries in such real estate companies' books for accommodating such transactions."

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