Some contractors and big businessmen are able to manage whoever is in power very easily. By “managing” them, there is not much effort involved. Compared to others, they simply pay huge amounts of money much faster, in the manner preferred by those in power. In return, they get the contracts and projects they want. This has become very common in Andhra Pradesh. The key leaders of the alliance parties publicly claim that there is no government in the country as honest as theirs. But there is a discussion within TDP circles itself that the activities taking place behind the scenes are leaving even their own party leaders stunned. Recently, Enforcement Directorate (ED) officials conducted raids at the offices of various companies associated with AMR. AMR has been facing allegations that it secured contracts for collecting seigniorage fees in several districts of Andhra Pradesh and was collecting crores of rupees through illegal methods.
Even though reports about this issue appeared in newspaper headlines, the alliance government in Andhra Pradesh remained silent. The main reason, it is being alleged, is that everyone involved is receiving their respective shares. Officials too reportedly say that no action is being taken despite repeated reports because those in the government are allegedly receiving crores of rupees in kickbacks from this mining operation. There have also been longstanding allegations that AMR has been carrying out large-scale collections by deploying teams across the state, functioning almost like a private kingdom, beyond the responsibilities officially assigned to it by the Andhra Pradesh government. Of the money collected in this manner, only a portion is reportedly paid to the government, while a much larger share is allegedly divided between the government’s top leaders and the private company.
As if the mining issue were not enough, official sources have revealed that the company recently secured a key stake in a pumped-storage project worth nearly ₹5,000 crore in association with another company. Official sources say that the shares from the mining operations are going to one of the alliance parties, while the stakes in the power project are going to another partner party. Following the latest ED raids, there is reportedly concern within the team of a young leader in the Andhra Pradesh government as well as the team of another party chief about where the links to their alleged illegal transactions might eventually lead and whether they could once again reach the Modi government at the Centre. The reason is that there is speculation that the alleged shares of the government’s top leaders from the money illegally earned through the collection of seigniorage fees were transferred through shell companies.
With the latest ED raids, political and official circles are discussing whether the alleged illegal collections related to seigniorage accounts, the movement of those funds, and the details of the power project deal could come to light. If that happens, there is a view that the alliance’s top leaders could come under the scrutiny of the Modi government at the Centre. At the same time, some ministers are also reportedly of the opinion that certain leaders are acting as they please in Andhra Pradesh because the BJP is also a partner in the alliance, giving them a sense of confidence. It remains to be seen how many more details will emerge in the coming days as a result of these raids. However, some BJP leaders claim that the details of the alleged “dark deals” taking place in Andhra Pradesh are being conveyed to the central leadership from time to time. A BJP leader has reportedly revealed that this information is being passed on to the party’s top leaders at the Centre.