The I-T sleuths recovered Rs 154 crore, including Rs 34 crore in Rs 2,000 notes and 167 kg of gold in the biggest post demonetisation seizures.
It is being alleged that P Ram Mohana Rao had close links with industrialist Shekar Reddy, an AIADMK functionary, who was raided early this month.
The Central Bureau of Investigation and Enforcement Directorate joined the I-T raid conducted at Reddy’s residences and businesses, which panned over three days.
The raids on Reddy raised eyebrows within the All India Anaa Dravida Munnettra Kazhagam (AIADMK) as he was close with the party, which was till some time ago headed by the mercurial Jayalalitha.
He is also a member on the Tirumala Tirupati Devasthanams board. In 2014, he was seen with CM O Panneerselvam when the latter visited Tirumala after Jayalalitha was given green chit in the disproportionate assets case.