New Delhi, April  11: Enforcement Directorate (ED) on Sunday said that it has conducted multiple searches at seven locations in Hyderabad on Saturday in connection with the money-laundering investigation into a large-scale scam in Telangana IMS (Insurance Medical Services) ESI (Employees State Insurance) Department.

During the raid, the probe agency has seized a large amount of incriminating evidence, a huge amount of unaccounted cash to the tune of Rs three crore, jewelry worth Rs one crore, blank cheques, property papers, and details of lockers, the officials said.

The raids began on Saturday morning at the residential premises of Dr. Devika Rani, Srihari Babu, ex-labor Minister late Nayani Narsimha Reddy’s V Srinivas Reddy, Mukunda Reddy, M Vinay Reddy, Burra Pramod Reddy, and business premises of Omni Medi.

“During the course of searches, unaccounted cash of around Rs1.50 Crore, Rs1.15 Crore, Rs 45 lakh were seized from the residential premises of V Srinivas Reddy, Burra Pramod Reddy, and M Vinay Reddy respectively. Apart from the above, incriminating evidence documents and digital evidence have also been seized”, the ED said in a statement, adding that searches have been continued.

The ED initiated a money-laundering probe on the basis of eight FIRs registered by the Anti- Corruption Bureau of Telangana against the then Director of IMS Dr. Devika Rani, her husband, Srihari Babu aka Babji of Omni Group, and several others on the allegations of financial irregularities in the purchase and supply of medicines, surgical kits, huge price escalation, flouting ESIC and government norms.

The accused created fake indents, fake bills, diversion of medicines, falsification of records in purchases, and this way this scam generated ‘Proceeds of Crime’ (POC) to the tune of around 200 Crore. (UNI)