Deloitte spills the beans on Jagan’s fraud
YS Jaganmohan Reddy, Kadapa MP, who is facing a CBI investigation into his alleged illegal assets, appears to be cornered as P.N. Sudarshan, senior director of Deloitte Touche Tohmatsu India Private Limited has made a statement before a magistrate in the special CBI court that the company had been pressurized by the auditor of Jagan’s Jagati Publications Limited to overvalue the firm.
Sudarshan said that Vijay Sai Reddy, auditor of Jagati Publications, had told them that the report was for internal audit purposes only but the same was later made public and shown to prospective investors of Jagati.
Jagati Publications was valued at around Rs 3,500 crore by Deloitte, which Sudarshan admitted was an inflated valuation given under pressure. However, Jagadisan and Company of Chennai, had valued Jagati at only Rs 196.