A fresh trail in the disproportionate assets case against survey and land records deputy director S Narahari has led Anti-Corruption Bureau (ACB) officials to what they describe as highly suspicious cash transactions involving a Hyderabad-based co-operative society.
Investigators found that the official had allegedly parked Rs 3.5 crore in cash as fixed deposits with the co-operative society and was receiving Rs 3.65 lakh every month as interest — entirely in cash — prompting the ACB to alert the income tax department over possible violations of tax laws.
The revelations emerged during the ACB’s probe into the disproportionate assets case registered against Narahari. The agency had conducted simultaneous searches at 10 locations linked to him in Hyderabad on June 16, uncovering assets worth around Rs 70 crore.During searches at his residence and bank locker, ACB officials seized Rs 3.06 crore in cash. Among the recovered money were cash bundles worth Rs 3.65 lakh kept in a pouch bearing the stamp of S** P*** M**** MAC Society Ltd. Investigators also found six fixed deposit receipts issued by the Secunderabad-based Mutually Aided Co-operative (MAC) Society in Narahari’s name for a total of Rs 3.5 crore.Subsequent inquiries by the ACB revealed that the fixed deposits were made in 2025 for a two-year term carrying an annual interest rate of 11%.
Officials questioned the society’s operators about the transactions after finding no record of online transfers from Narahari to the society.“There were no online transactions of Narahari paying the co-operative society towards fixed deposits. The deposits were in cash. The co-operative society has been paying him about Rs 3.65 lakh monthly interest for the deposits and that too all in cash. This is a clear violation of the Income Tax Act,” said an ACB official.
According to the national cooperative database of the Union ministry of cooperation, the society is registered as a credit and thrift co-operative operating in Telangana. ACB sources said such societies can accept deposits only from their members and, under provisions of the Income Tax Act, cannot accept or make cash payments of Rs 20,000 or more.
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