A report in Indian Express alleged conflict of interest with AP CM YS Jagan Mohan Reddy’s Bharati Cements. Jagan’s family owns a 49% stake in the company and his wife, Bharati is a director.
The company has received a bulk of the purchase orders for state government works in the first 10 months of the current financial year i.e., 14 percent or 2,28,370.14 metric tonnes of all purchase orders for cement made by the state from April 2020 till January 18, 2021.
The second highest purchase orders of 1,59,753.70 MT, which is about 30 percent less than Bharathi Cements were bagged by The India Cements Ltd. N Srinivasan, the Managing Director of The India Cements is one of the accused in Jagan‘s quid pro quo cases.
Interestingly, the India Cements had investments of Rs 95.32 crore in Bharathi Cement and had sold it to Vicat, a French company when it acquired a majority 51 percent stake in Bharathi Cement in 2010.
Penna Cements had received purchase orders of 1,50,325.02 MT. Once again, Penna Chairman Pratap Reddy is also one of the accused in Jagan’s quid pro quo cases. These three companies together account for a third of the total purchase orders during April 2020 and January 2021.
Rejoinder of AP Govt for this Story:
