Causing embarrassment to the Andhra Pradesh state government, the Indian Bank authorities have attached some properties of the Human Resource Minister Ganta Srinivasa Rao, after his company was defaulted on the loan it took from the bank. The amount defaulted from Dabagardens branch of the bank was Rs 141.68 crore.

According to a notice published by the Indian Bank in a section of the media, M/s Pratyusha Resources and Infra Private Limited had taken a loan of Rs 200 crore (including interest) from the Dabagardens branch of the bank in Visakhapatnam and defaulted on it. Consequently, the bank said it attached the properties of the firm and the guarantors.

Around 26 properties including five properties belonging to Ganta and three properties of Paruchuri Bhaskara Rao, director of Pratyusha, were attached by the Indian Bank between December 21 and December 26. The properties of Ganta that were attached by the bank included his residential premises in MVP Colony, Chodavaram, Anakapalli, Kurmannapalem and Balayya Sastry Layout in Visakhaptnam.

However, the minister states presently he is nothing to do with the company, though he was one of the director of the company, which was resigned in 2009. But, he admits he has stood as a guarantor. “If they do not pay, I will take it up as my moral responsibility”, he added.

Pratyusha group of companies are said to be promoted by the minister, but he resigned from board after he joined Kiran Kumar Reddy’s cabinet.