According to the police, a rival group had allegedly planned to take control of the Chettinadu Group of Companies headed by Dr Ramaswamy, during the Annual General Body Meeting scheduled to be held on August 27. The Registrar of Companies had allegedly received the bribe for not approving any decision that might be taken at the meeting.
Following a tip-off that Mr Cholan had allegedly demanded a bribe of Rs 10 lakh, officials had intercepted his vehicle. The bribe amount of Rs 10 lakh was allegedly recovered from Dr Cholan's possession.
Authorities also reportedly recovered Rs 20 lakh from Dr Cholan's residence. Several incriminating documents and a computer hard disc were allegedly seized after carrying out searches at the office of Chettinadu House, the chamber and private office of Dr Cholan.
Sources close to Dr Ramaswamy have denied the allegations.
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