The Hindu : Four held for extortion bid

Online edition of India's National Newspaper
Tuesday, Feb 24, 2004

Andhra Pradesh

Andhra Pradesh - Vijayawada

Four held for extortion bid

By Our Staff Reporter

VIJAYAWADA, FEB. 23. The city police arrested four persons, including a former naxalite and three women, for allegedly trying to extort money from a business house in Machilipatnam in the name of the People's War Group (PWG).

While the prime accused, M.Malakondaiah (30), and his wife, Jyothi (25), were arrested from their house at Chadalava village near Ongole town in Prakasam district late on Sunday night, two others, Bujji (20) and her mother Nagamani, were taken into custody from their house at Madhuranagar under the Satynarayanapuram police station limits on Monday morning. Nagamani's husband Tirupathaiah, a rickshaw puller, is said to be still at large.

Disclosing this at a news conference here on Monday, City Police Commissioner A.B. Venkateswara Rao said Malakondiah had worked as a dalam member and commander of the PW under the pseudo name of Murali between 1992-1997 in Ongole, Nellore and Guntur districts. He was convicted under the TADA and Arms Act. After coming out on bail, Malkondaiah decided to quit the movement. He divorced his first wife Vani, who was a former dalam member, and married Jyothi. Malakondaiah, who was jobless, allegedly threatened some businessmen in Prakasam district in the name of the PW and collected about Rs 1.5 lakh to start his business.

The accused, however, suffered losses and again resorted to extortion of money from businessmen in Prakasam, Nellore and Guntur. From a commercial complex builder, Murali, in Guntur district, he allegedly extorted Rs 6 lakhs and squandered the money in gambling. While carrying out the extortion, Malakondaiah allegedly used the services of Tirupathaiah, an accused in a murder case. The two developed friendship while they were lodged in the Rajahamundry jail. In a bid to expand his activities, Malakondaiah reportedly threatened the general manager and vice president of a sugar manufacturing unit at Machilipatnam to cough up Rs 10 lakhs as funds for the PW. Malkondaiah used the services of his wife, Jyothi, and Bujji to call up the businessmen and put forth their demands. The two women used public booths in Prakasam and Krishna districts including the city to make the calls on the mobiles of the businessmen and made their demands. Based on the clues provided by one of the public booth operator at Satyanarayanpuram, the North Zone Circle CI D V Nageswara Rao managed to track down Bujji at her house in Madhuranagar. Based on information furnished by Bujji, Malakondaiah and Jyothi were arrested from their house in Chadalava village. Mr Rao complimented the Satynarayanapuram and Payakapuram police officials for promptly acting on the clues and effecting the arrests.

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