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Mumbai Airport Scam: CBI Case Against Reddy

Mumbai’s Chatrapathi Sivaji Terminal 2 airport had won many accolades and it was built by our own Telugu business tycoon Gunupati Venkata Krishna Reddy aka GVK Group. However, an alleged scam worth Rs 705 crore had hit the headlines and the Central Bureau of Investigation (CBI) has booked GVK and his son G V Sanjay Reddy who is the Managing Director of Mumbai International Airport Ltd (MIAL).

In the year 2006, Airport Authority of India (AAI) made on agreement with GVK group in modernisation, operation and maintenance of Mumbai airport under public private partnership (PPP).

CBI alleged that GVK Airports Holdings Limited showed execution of bogus work contracts to nine companies in 2017-18 causing a loss of Rs 310 crore and also misused reserve funds of MIAL to the tune of Rs 395 crore to finance their group companies.

CBI has also registered cases against the nine companies which acquired bogus contracts and there are a few unidentified officials in this scam too. CBI might initiate a thorough probe in the coming days.

This post was last modified on 2 July 2020 9:52 am

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