Rs 42 crore cash found under bed in I-T raids in Bengaluru; BJP attacks Congress govt

Income Tax (I-T) sleuths are said to have recovered a huge cache of money stashed in several boxes during searches at properties belonging to a city-based contractor on Friday (October 13).

Similar searches are underway at properties belonging to a few other contractors, according to a PTI report citing sources.

BJP leader and former deputy chief minister CN Ashwath Narayan, targeting the Congress government in the state, alleged that the money was collected from contractors as commission to fund upcoming elections in five states.

"This proves the 'ATM government' allegations (against Congress govt) with evidence... This is the small size consignment of the collection by the 'ATM government' that has been caught. Many such things are there. This is collected money. This is just a sample," he said, as he urged other contractors to speak out about the money they had allegedly paid.

BJP leader and MLC N Ravi Kumar, speaking to reporters, claimed that the cash recovered from the contractor's property had a value of Rs 42 crore, and that the currency notes were of Rs 500 denomination and were stored in 23 boxes under a bed.

Word is going around the city that the money was collected for the Telangana polls, he said, also alleging that it was the money gained as 'commission' to clear Rs 650 crore pending dues of the contractors from the government. Ravi Kumar demanded a probe into it.

Several other BJP leaders have made similar allegations against the ruling Congress.

Rejecting the "baseless" allegations, Chief Minister Siddaramaiah said, "No state (unit of Congress) will ask (for money). We won't give it also... Have you seen it? Have they (BJP members making the allegations) seen it (money given to other states)? What is there to make such false allegations?"

Deputy Chief Minister DK Shivakumar, reacting to a question on the I-T raids, said, "Without politics, IT won't come. It is politics that is happening. We too are aware of what is happening in Chhattisgarh, Telangana and other states. Where BJP is in power, nothing will happen; where BJP is not in power, such things happen."

Karnataka State Contractors’ Association president D Kempanna was asked to comment about reports that crores of rupees in cash have been recovered from the house of one of its office-bearers. He said the contractor had not been involved in any contract works for eight years and that he had several other businesses, involving agriculture and stone crushing.

The law will take its course, he added.

According to a report on NDTV, the cash was found after raids on Ashwathamma, her husband R Ambikapathy, their daughter and Ashwathamma's brother-in-law Pradeep in RT Nagar, Bengaluru at midnight.

Ambikapathy is the vice-president of Bruhat Bengaluru Mahanagara Palike (BBMP) Contractors' Association. The money was reportedly to be brought to Hyderabad via Chennai from Bengaluru. Ashwathamma is apparently the elder sister of former Congress MLA Akhand Srinivasamurthy, the report added.

(With agency inputs)