The Enforcement Directorate (ED) has initiated the process of recording the statement of Raj Kasi Reddy, a key accused in the high-profile Midland Hawala scam. ED officials arrived at Vijayawada District Jail to question Reddy about his alleged role in the illegal transfer of thousands of crores through dubious financial channels.

Investigations have uncovered a complex web of transactions involving shell companies, hawala networks, and overseas transfers. The scam allegedly involved converting black money into white by routing funds abroad before bringing them back to India for distribution among beneficiaries. The ED recently registered a case and sought detailed information from former Vijayawada Commissioner Rajasekhar Babu regarding arrested suspects, identified properties, money trails, and the progress of charge sheets.

The court granted permission for the ED to record Raj Kasi Reddy’s statement after the agency highlighted his central role in orchestrating the illegal cash transfers. According to officials, Reddy was instrumental in collecting and moving large sums through hawala and other unauthorised means.

So far, the ED has traced approximately ₹3,200 crore linked to the scam, but authorities believe the actual amount could be significantly higher. The investigation is being conducted under the Prevention of Money Laundering Act (PMLA), with a focus on uncovering the full extent of the money laundering network.

With the ED intensifying its probe, more revelations about the financial trail and key individuals involved are expected soon. The ongoing interrogation of Reddy at Vijayawada jail could provide crucial insights into the operation, potentially leading to further arrests and seizures in the coming days.