CBI arrests Andhra home secretary in Emaar case
The Central Bureau of Investigation arrested Andhra Pradesh home secretary BP Acharya on Monday for his alleged role in a scam involving a joint venture between Dubai-based realty major Emaar and a state agency that he had headed
By HT Correspondent | Hindustan Times, Hyderabad
UPDATED ON JAN 31, 2012 12:31 AM IST
The Central Bureau of Investigation arrested Andhra Pradesh home secretary BP Acharya on Monday for his alleged role in a scam involving a joint venture between Dubai-based realty major Emaar and a state agency that he had headed.
Acharya, an IAS officer of the 1983 batch, was produced before the special CBI court and was sent to two-day judicial custody.
According to CBI sources, he was arrested on charges of cheating, criminal conspiracy and criminal breach of trust and also under the Prevention of Corruption Act.
Acharya was vice-chairman and managing director of the Andhra Pradesh Industrial Infrastructure Corporation between 2005 and 2009 when its equity was reduced in the joint venture from 26% to 6%, leading to a huge loss of more than Rs 1,000 crore to the state exchequer.
Acharya allegedly colluded with Emaar and its Indian associates to bring down the state agency's equity in the Emaar Hills Township Private Ltd. The equity dilution happened allegedly without the approval of the state agency's board.
The joint venture had been formed to build a township at Gachibowli in Hyderabad and the state body had allotted 535 acres for the upscale township. The CBI sources said plots and villas in the township were sold at a price 10 times than what was shown on paper.
Acharya is the fourth accused to have been arrested in the Emaar case.
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