Paradise papers :PVP used offshore loans to invest in YS Jagan companies

New Delhi Nov 10: The International Consortium of Investigative Journalists (ICIJ) has brought out paradise papers - the documents to shun the light on offshore entities.

The documents reveal that how Hyderabad businessman used offshore firms to invest in India.

Prasad V Potluri was involved in politics, software, analytics, power and real estate before shifting over the last five years to film financing, media, and entertainment.

Documents revealed that PVP has used his offshore entity in Mauritius, Platex Ltd to borrowed $258 million with Deutsche Bank and he used the loan to acquire a majority stake in his India-listed company, PVP Ventures Ltd.

Records show that PVP used the money to invest in real estate projects through PVP Ventures Ltd's subsidiaries, which also invested in Jagati Publications Ltd, a media firm owned by YS Jagan Mohan Reddy Andra Pradesh opposition leader.

CBI has searched the offices of Potluri and questioned him following an investigation ordered by the Hyderabad High Court into investments in Jagati Publications Ltd. He was named as an accused in the CBI FIR, which alleged that he received land as a quid pro quo for investing in Jagati.

The documents also revealed that he has defaulted the loan taken by him.

SEBI has fined Potluri and his companies to the tune of Rs 30 crore for alleged non-disclosure under takeover and insider trading regulations.