ED Questions Former India Captain Mohammad Azharuddin in Money Laundering Case

Former Indian cricket captain and ex-president of the Hyderabad Cricket Association (HCA), Mohammad Azharuddin, faced extensive questioning by the Enforcement Directorate (ED) on Tuesday regarding a significant money laundering investigation. The inquiry, which lasted for over eight hours, centers around alleged financial irregularities within the HCA.

Background of the Investigation

The ED’s investigation is being conducted under the Prevention of Money Laundering Act and is triggered by multiple First Information Reports (FIRs) filed by the Uppal police. These FIRs allege corruption within the HCA, implicating several individuals, including Congress MLA G. Vinod. According to the FIRs, Azharuddin is accused of financial mismanagement related to the procurement of cricket equipment, gym supplies, fire safety devices, and other materials for the Uppal stadium.

Authorities claim that contracts valued at ₹3.8 crore were awarded to a particular bidder who failed to deliver the required work on time. Despite this, payments were allegedly made as part of a broader criminal conspiracy. A subsequent audit revealed misappropriation of funds, prompting further scrutiny.

Allegations of Fraudulent Deals

In addition to Azharuddin, the FIRs also name former HCA secretary R. Vijay Anand and former treasurer Surender Agarwal. The charges against these individuals include criminal conspiracy, cheating, forgery, and criminal breach of trust.

Four companies are implicated in the alleged fraudulent deals: Body Drench India Pvt Ltd, Fire Safety Engineers Pvt Ltd, Sara Sports, and Excellent Enterprises. These companies are accused of colluding with HCA representatives to engage in dishonest transactions. The complaint prompted a forensic audit of HCA’s finances, covering a three-year period leading up to March 2023, which uncovered suspicious dealings involving third-party vendors.

The forensic audit revealed a particularly troubling invoice of ₹1.5 crore for gym equipment from Body Drench India, which reportedly ceased operations in 2020. Furthermore, a fire safety equipment contract worth ₹1.88 crore was awarded to Firewin Safety Engineers, despite a competing lower bid of ₹54.3 lakh from another vendor.

Financial Mismanagement and Irregularities

Azharuddin has been accused of favoring Sara Sports in the procurement of SG Test cricket balls, allegedly leading to a financial loss of ₹57.07 lakh for the HCA. Additionally, discrepancies were noted regarding the costs for stadium bucket seats purchased from Excellent Enterprises, which charged ₹2,568 per seat while another vendor offered the same product for merely ₹150 each, resulting in a further loss of ₹43.1 lakh.

Sources close to Azharuddin revealed that HCA’s CEO, Suneel Kante, had alleged that the vendor had significantly overcharged for gym equipment and subsequently lodged FIRs. All relevant documents related to these transactions were submitted to the court, which granted bail to the accused. This decision suggested that the case might be frivolous and politically motivated, as claimed by Azharuddin’s supporters.