CID questioning auditing firm in Kakinada port case

The Andhra Pradesh Criminal Investigation Department (CID) has issued notices to Aurobindo Sarath Chandra Reddy and Chennai-based auditing firm Sridhar and Santhanam in connection with the Kakinada Port case.

The case revolves around allegations of tax evasion and discrepancies in audit reports. In response to the notice, Sarath Chandra Reddy, citing religious obligations as he is observing Ayyappamala, has requested to attend the hearing after December 24.

Meanwhile, directors of the auditing firm, Sundar and Vishwanath, appeared before the CID for questioning today. The CID has intensified its investigation, grilling the firm's managers since 11 AM regarding conflicting audit reports.

Initially, the firm reported that KV Rao's company evaded taxes amounting to Rs 964 crore. However, a subsequent report reduced the tax liability to Rs 9.30 crore, raising suspicions of deliberate alteration. YSRCP leaders, including Vijayasai Reddy, Vikrant Reddy, and Sarath Chandra Reddy, reportedly cited the original audit report to allege tax evasion.

However, KV Rao filed a complaint with the CID, claiming he was threatened. The complaint led to a case being registered and a probe into the conflicting audit findings. The CID is seeking clarity on why the audit findings were changed and whether external pressures influenced the revision.

Following today’s questioning of Sundar and Vishwanath, the CID has summoned Aparna and Prasanna Kumar, who signed the certificates associated with the audit reports, for further questioning.

Senior CID officials, including those at the SP level, have been conducting the investigation since morning, signaling the gravity of the case. The outcome of these inquiries is expected to shed light on the alleged irregularities and those potentially involved.