The Kurnool police arrested Keshava Reddy Educational Institutions owner Keshava Reddy for not repaying the deposits collected from the parents of students.
The Kurnool police today arrested Keshava Reddy Educational Institutions owner Keshava Reddy for not paying back the deposits collected from the parents of students.
Kurnool Superintendent of Police Ake Ravikrishna said that the police had detained Keshava Reddy on Wednesday evening and registered cases in the Panyam and Nandyal police stations, under IPC sections 5, 420, 403 and 109.
The SP explained that Reddy had collected deposits worth Rs 470 crores from the parents of 11,000 students and 800 private persons.
Reddy also took Rs 62 crores in loans from various banks by mortgaging school assets, he said.
Speaking to the media, Reddy said that he had no intention to deceive anybody.
He said that he had invested the amounts collected in the form of deposits in the real estate business. The value of the lands was however lesser now, and he would refund the deposits after selling the lands a year later.
He also said that he had no objection if the deposits were returned by the lands being seized.
Reiterating that he has no intention to deceive anybody, he said, "I am ready to give my assets if the government wants to take them. I would have vanished in case I had an intention of deceiving the depositors. I have committed a mistake," he said.
filed in:Andhra Pradesh, Crime, Business Crimes, Kurnool, Police