Hyderabad Electoral Bond Scam: Retired Judge's 2.5 Crore Fraud Case Transferred to CCS for Investigation
In a significant development in Hyderabad, a complex financial fraud case involving a retired high court judge and an alleged electoral bond scam has been transferred to the Central Crime Station (CCS) for detailed investigation. The case, which revolves around a substantial sum of 2.5 crore rupees collected from the judge's family in 2021, has taken a new turn as senior police officials cite the intricate nature of money routing and multiple accused persons as reasons for the transfer.
Background of the Fraud Case
The matter came to light when Justice (retd) DSR Varma, a 74-year-old former judge who served in the erstwhile Andhra Pradesh and Allahabad high courts, filed a formal complaint with the Film Nagar police station on February 27, 2024. The retired judge alleged that two individuals, identified as Narendran and Sarath Reddy, had deceived him and his family members by promising to issue electoral bonds for a party at the Centre and secure favorable placements in the United States for him and his grandchildren.
Despite the fraud occurring in 2021 and a case being registered that same year, no arrests have been made to date, raising questions about the investigation's progress. The complainant emphasized in his FIR that despite repeated requests and the collection of substantial funds, no electoral bonds were ever issued to his family, which he described as a clear violation of recent Supreme Court judgments regarding electoral bond collections.
Legal Framework and Initial Police Action
Following the retired judge's complaint, the Film Nagar police registered a case under several sections of the Indian Penal Code, including Section 406 (criminal breach of trust), Section 420 (cheating), and Section 34 (common intention). The initial investigation revealed that Narendran had contacted the judge through relatives, soliciting funds for a political party at the Centre with the promise of acknowledgment through electoral bonds. Meanwhile, Sarath Reddy, described as a construction businessman, allegedly collected the money from the judge's wife and daughter through bank transactions.
During the preliminary investigation, police officers examined the complainant and witnesses, recording their statements in detail. Based on witness testimonies, confessions, and substantial financial evidence including bank transaction records and WhatsApp conversations, the investigation expanded to include three additional accused: Srinath Desai, Kumar, and Chaitan Kumar. Some of these individuals are reportedly from Karnataka, adding an inter-state dimension to the case.
Transfer to Central Crime Station
Considering the serious nature of the allegations and the substantial amount of misappropriated funds—2.5 crore rupees—Additional Commissioner of Police (Crimes) M Srinivasulu ordered the transfer of the case to the Central Crime Station. The case was officially re-registered on Friday under the same legal sections against all five accused persons.
A senior CCS officer explained the rationale behind the transfer: "The case involves misappropriation of 2.5 crore, with multiple accused, complex banking transactions, fund routing, and inter-state linkages. Considering the gravity of the offence and the need for specialised financial investigation, CCS was entrusted with the probe." The officer further stated that the CCS team would analyze the investigation conducted so far and plan the subsequent course of action.
Complexities and Challenges in the Investigation
The case presents several challenges for investigators, including:
- Complex financial transactions spanning multiple bank accounts
- Inter-state connections with some accused hailing from Karnataka
- Alleged promises of electoral bonds that were never delivered
- Additional promises of overseas education and career placements
- The involvement of a retired high court judge as the complainant
The transfer to CCS indicates that authorities recognize the need for specialized financial investigation capabilities to unravel the money trail and establish clear evidence against all accused parties. The case also highlights broader concerns about electoral bond-related frauds following recent Supreme Court observations on the matter.
As the investigation progresses under the CCS, all eyes will be on how authorities navigate the complex financial web and whether this transfer will lead to breakthroughs in a case that has remained stagnant since 2021 despite substantial evidence and serious allegations.
