After long grilling, Ballari baron Janardhan Reddy arrested

The former minister, who is facing multiple charges of corruption, Reddy was remanded in judicial custody till 24 November. He has already spent three years in jail. He was out on bail.

"We have taken the decision to arrest him on the basis of credible evidence and witnesses statements. We are going to recover the money and give it to the investors," senior police officer of Bengaluru Alok Kumar told reporters.

The 49-year-old appeared for questioning at the Crime Branch office on Saturday evening after a three-day hunt by the police. In a video message, he rubbished reports that he was on the run and was holed up in Hyderabad.

The bribery case involves a private enterprise, Ambident Group, which was allegedly running a Ponzi scheme and cheated thousands of depositors.  Its owner Syed Ahmed Fareed claimed after the firm came under the scanner of the authorities that he paid Rs18 crore to be let off. 

Janardhan Reddy, who was a minister in the government headed by BS Yeddyurappa, had asked for the money during a meeting at a hotel, he said.

The money was eventually paid and routed to Janardhan Reddy's aide, Syed Ahmed Fareed said.

Fareed reportedly told police that he had given Reddy 57 kg of gold worth Rs18 crore after the latter promised to help him in an investigation launched by the Enforcement Directorate.

The central crime branch of the Bengaluru police had questioned Reddy from around 4 pm on Saturday, when he appeared before the police, till about 2.30 am. The questioning resumed on Sunday before Reddy was arrested, police said.

Reddy was taken to a hospital for medical check-up and produced before a magistrate. He will be taken to the Parappana Agrahara Central Prison. Reddy’s lawyers approached the magistrate with a bail application, which has been listed for hearing today.

In a series of videos released on Saturday, Reddy had rebutted all the charges and criticised the police for “spreading false information”.

Refuting allegations by police that he was on the run, Reddy said he had been in Bengaluru the whole time.

One of the three brothers who wield enormous power in Karnataka's mining district of Ballari, Janardhan Reddy was disowned by BJP chief Amit Shah during campaigning for the assembly elections held in the state in May.

However his two brothers, Gali Karunakara Reddy and Gali Somashekhara Reddy, were given election ticket by the party.  Janardhan Reddy had campaigned for them, as well his aide Sriramulu, who won the election from Ballari.

Last week, the party lost the Ballari parliament seat to the Congress.

Reddy’s advocate Sunil Kumar told Hindustan Times he had just been informed of the arrest.

“We will wait and watch what happens as it is a holiday today. We will apply for bail once the situation becomes clear,” Kumar said.