The officials of the Andhra Pradesh government conducted raids on the Margadarsi Chit Fund Private Limited across the state on Thursday. The officials have conducted the searches in all 37 branches of Margadarsi.

The search teams consist of officials from the CID, Stamps and Registration Department and the Revenue Intelligence wing. Sources say that the officials are searching the records of Margadarsi on their payment history to the chit bidders, bank transactions and payment of taxes.

As the officials entered the 37 branches of the Margadarsi across the state, its chairman Ramoji Rao found fault with the government action. He said that the searches now were against the violation of the high court order not to disturb the business of the company.

Ramoji Rao alleged that the officials were creating panic among the Margadarsi customers and terrorising the employees. He further said that the officials have closed the entries into the Margadarsi offices in all the branches and did not allow the customers to enter or the staff to do their business.

Meanwhile, both Ramoji Rao and his daughter-in-law and Margadarsi managing director, Sailaja Kiran, did not attend the CID questioning session in Vijayawada. The CID had served the notices to both Ramoji Rao and Sailaja Kiran to attend the questioning in their office in Vijayawada on August 16 and 17 respectively.

However, they both skipped the session. It was for the second time that they skipped the CID questioning. Earlier, they were asked to be present in the CID office in Guntur on July 5. They did not attend this session.

It is now to be seen what the CID would do to proceed further in the Margadarsi case and how the Margadarsi group would react.