The income tax officials on Saturday started grilling the former Satyam founder Ramalinga Raju at the chanchalguda jail here in connection with the Rs 7,800- crore accounting scam.
A team from the IT-department had arrived at the jail in the morning and began interrogating Raju.
The four-member team is likely to grill Raju on several issues, including whether the money had been siphoned off or he had inflated the income, a jail source said.
On January 7, Raju disclosed that he fudged company's account books and inflated profits to the tune of Rs 7,800 crore, which is termed as corporate India's biggest fraud till date.
Earlier, on the direction of the Supreme Court, the market watchdog Sebi interrogated and recorded the statements of the company's founder B Ramalinga Raju and his brother Rama Raju for three days from February 4.