Former Minister Atchannaidu was taken into ACB Custody in the early hours of today. The Tekkali MLA is said to be involved in the irregularities in ESI Purchases during the previous regime. Along with Atchannaidu, twenty five others were said to be arrested in this case.
The Vigilance and Enforcement Department of Andhra Pradesh had in February claimed to have unearthed a Rs multi-crore scam in the Employees State Insurance (ESI) Corporation during the period between 2014 and 2019, when the Telugu Desam Party was in power.
Atchannaidu had denied any wrongdoing in his tenure and claimed that he merely implemented the directives of the Central Government. He maintained that all relevant records were available and could be verified. Of the total Rs 975.79 crore worth of purchases made during the period, the three directors, along with other staff, violated all procedures and guidelines of the government and ESIC.
The ACB has claimed that the purchases made in that period incurred a loss of 151 Crore to the state. This development has come ahead of the Assembly Session and TDP claims that it is intentional to divert the people from the failures of the Government.
