Hyderabad: In a curious twist of events, former Andhra Pradesh Chief Minister Chandrababu Naidu finds himself embroiled in a skill development scandal that has captivated the public’s imagination, drawing parallels to children’s tales, as noted by renowned film director Ram Gopal Verma.
The saga unfolded in 2014 when an associate of Design Tech, a subsidiary of Siemens, proposed a skill development program. This ambitious venture was estimated at a staggering 3700 crores, with Siemens contributing a substantial 90%, while the government’s share stood at 10%.
However, Naidu’s unorthodox approach led to the formation of the CBN Skill Development Corporation, where he appointed close allies as CEO, Director, and MD. An official biography was released, followed by the signing of a Memorandum of Understanding (MoU). Yet, what remained hidden from public view was the discrepancy between the terms of the Joint Venture (JV) and the MoU.
Despite Siemens’ stipulation that the government’s contribution hinged on the project’s progress, Chandrababu Naidu bypassed objections and unilaterally sanctioned Rs. 371 crores to Design Tech, a private entity, without the due process of competitive tendering. This was done through a full nomination method, and the details were meticulously recorded in official note files.
Shockingly, Design Tech subsequently diverted these funds to unrelated companies with no connection to skill development, operating as shell companies that issued fictitious invoices and rerouted the money.
The GST department, which was investigating these irregularities, alerted the Chandrababu Naidu-led government in 2018, during his tenure as Chief Minister. Astonishingly, Naidu took no action, and records related to the scandal were promptly destroyed, except for what became known as the “shadow files.”
Speculation arose that the CID suspected Naidu’s involvement in the scam, as the missing funds could potentially find their way back to him through shell companies and clandestine channels. An investigation was initiated to probe these allegations.
In 2018, if Chandrababu Naidu had acknowledged the error and ordered an inquiry upon receiving the information, it might have offered a chance to implicate other officials. However, questions were raised about his actions, fueled by his media influence and an apparent belief that he could manipulate the judicial system.
In an unexpected development, Siemens distanced itself from the Skill Development Corporation, further deepening the intrigue surrounding the case.
Recently, in light of inputs from the Enforcement Directorate (ED) and Income Tax (IT) departments, the state CID arrested Chandrababu Naidu. The CID’s preliminary evidence led to his incarceration, defying expectations.
The unfolding saga has been compared to a captivating story where justice prevails, demonstrating that all individuals, regardless of their stature, are subject to the law. This narrative promises more revelations in the weeks ahead, leaving the public eager for the next chapter.
