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VVMC Official Suspended Over ₹31.85 Crore Money Laundering Allegations

Deputy director Yumiganu Shiva Reddy faces disciplinary action and ongoing ED investigation after raids uncovered unaccounted cash and assets.

Overview

  • Yumiganu Shiva Reddy, deputy director of town planning at VVMC, was suspended retroactively from May 14 for alleged financial misconduct and money laundering.
  • The Enforcement Directorate seized ₹8.6 crore in cash and ₹23.2 crore worth of jewellery and bullion from Reddy’s Hyderabad residence during raids on May 14–15.
  • Reddy is accused of aiding builders in obtaining fraudulent approvals for 41 illegal constructions on land reserved for public utilities in Vasai-Virar.
  • The suspension order, issued under Maharashtra Civil Services and Municipal Corporation rules, limits Reddy to 50% salary and prohibits external employment during the inquiry.
  • The ED’s investigation continues, with Reddy’s statement pending and other civic officials under scrutiny for potential involvement in the scheme.