Gali wants seized cash put in FDs

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Mining baron Gali Janardhan Reddy’s counsel E. Uma Maheswara Rao on Tuesday urged the CBI court to direct the authorities to put the crores of rupees seized from his residences and the residence of his brother-in-law B.V. Srinivas Reddy in fixed deposits in their name.

Mr Maheswara Rao said that they could get back the money with interest after the completion of trial. The appeal came during a hearing of a petition filed by Income Tax officials from Bengaluru. Earlier, the I-T officials requested the court that the money, including Rs 2.94 crore seized from Mr Janardhan Reddy's house and about Rs 1.3 crore from Mr Srinivas Reddy’s house, be handed over to the department as it was not reflected in the books.

“The I-T department didn't state as to how it is entitled to the money nor did it mention that Mr Janardhan Reddy owed any I-T dues. The company was to file I-T returns before October 31 but the money was seized on September 5,” defence counsel argued. “It belongs to the accused and is not liable for confiscation,” he said. However, the judge said that the money would be put in fixed deposits in the case number but not in the name of the accused.