The Enforcement Directorate (ED) has issued notices to former minister and BRS MLA Mallareddy in connection with alleged irregularities in PG medical seat allocations. In a significant step, the ED had raided 12 medical colleges linked to Mallareddy last June, uncovering crucial documents, pen drives, and hard drives. The investigation highlighted that 45 PG medical seats in 10 private colleges in Telangana were allegedly blocked and sold illegally for hefty sums.
Mallareddy has been asked to respond to these allegations. During the ED’s two-day raid on his medical college, authorities seized ₹1.4 crore in unaccounted cash and froze an additional ₹2.89 crore in the institution’s accounts. Earlier in April 2022, medical university officials had reported private college managements to the Warangal police, alleging the illegal blocking and sale of postgraduate seats.
The ED’s investigation followed a case filed by the police, which uncovered key digital evidence. In November 2022, income tax officials also conducted extensive searches at Mallareddy’s residence, offices, and properties associated with his family, including Mallareddy University and other educational institutions.
As the owner of multiple educational institutions, including medical and engineering colleges, Mallareddy faces scrutiny over his substantial wealth, with reports suggesting possible land encroachments during the BRS administration. While he claims his wealth is from ventures like milk and flower sales, many question if these could truly account for his large-scale earnings. His response to the recent ED notices is now highly anticipated.