Volkswagen Scam Offenders Named

The Central Bureau of Investigation, on Saturday, filed a 150-page charge-sheet in Nampally Court against 6 persons and a company, including Helmut Schuster, for their involvement in the Volkswagen-Vashishta Wahan scam which rocked the state in 2005.

The charge-sheet does not include the name of Panchayat Raj Minister Botsa Satyanarayana, who was accused by the Opposition to have been involved in the 2 million Euro scam.

The CBI charge-sheet named Helmut Schuster and Ashok Kumar Jain of Messrs Vashishta Wahan Pvt. Ltd, Jagadeesh Alaga Raja, Gayathri Chandravadanan, B K Chaturvedi and Joseph V George.

According to CBI officials, the case came to light at a time when the State government was negotiating with Volkswagen AG, Germany, for setting up a car manufacturing project in Andhra Pradesh.

Dr. Helmut Schuster, along with the other accused, conspired and cheated the government by making it believe that M/s Vashishta Wahan Pvt. Ltd was an Indian-nominated Company of M/s Volkswagen AG Germany. The accused led the government to participate in equity to the tune of Rs. 11,67,40,000 (2 million Euros).

The case came to light when Volkswagen AG denied that Vashishta Wahan was its subsidiary, and claimed that it was a fake company.

The Opposition seized the chance and targeted Botsa, saying that he was the brains behind the fake company.

The then Principal Secretary to the state government had filed a complaint with the CBI, which took up investigations.

Investigations were carried out in India, Germany and Switzerland, by sending a Letter Rogatory, and vital evidence showing the complicity of the accused was collected.

During investigations, Rs. 5 crores of the said Rs. 11.67 crores were recovered.

The CBI examined 59 witnesses during the investigations. In all, 95 documents supporting the charge-sheet running into 3,000 pages were filed before the Court of the XIV Additional Chief Metropolitan Magistrate at Hyderabad.

Courtesy: INN