Published Wednesday, April 11, 2001, in the Contra Costa Newspapers

• 21 expanded charges against a rich Berkeley landlord's two sons include transporting girls for immoral purposes

  By Leslie Fulbright
  TIMES STAFF WRITER

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  OAKLAND -- Federal prosecutors Tuesday dramatically expanded their immigration fraud case against two sons of a wealthy Berkeley landlord, adding allegations of sex crimes involving multiple victims.

  In a 21-count indictment presented in U.S. District Court in Oakland, Vijay Kumar Lakireddy, 31, and Prasad Lakireddy, 42, are charged with bringing Indian nationals into the country for cheap labor and sex for themselves and their father, Lakireddy Bali Reddy, 63.

  Reddy pleaded guilty to reduced charges in March, along with his brother and sister-in-law. The two sons, however, rejected a plea deal, maintaining their innocence.

  Initially, the two had been charged with single counts of conspiring to commit immigration fraud. Vijay Lakireddy also faced charges of making false statements to a federal agency and aiding in bringing underage girls into the country to have sex with his father.

  Paul Wolf, attorney for Prasad Lakireddy, was surprised by the scope of the new indictment.

  "I don't think the evidence warrants all of this," he said. "I think (prosecutors) were unhappy we didn't go for the plea bargain."

  Matt Jacobs, spokesman for the U.S. Attorney's Office in San Francisco, declined to comment on the expanded charges.

  The indictment alleges a years-long conspiracy by the defendants to bring Indian nationals to the United States posing as skilled workers or relatives of U.S. citizens. The co-conspirators allegedly would arrange false identities, sponsor sham marriages and file fraudulent visa applications on their behalf, the indictment charges.

  Those brought over would be put to work in Reddy's apartment buildings and for Jay Construction, Reddy Realty and the Pasand restaurants owned by the family without being paid minimum wage or overtime, prosecutors say.

  The indictment also details how the defendants allegedly smuggled "a number" of Indian women and girls into the country for sex.

  At Reddy's and others' direction, the indictment states, family employees would procure "destitute young Indian girls" to be put to work cleaning and gardening at the Reddy estate in Velvadam, India.

  Later, the girls were moved into the home in shared bedrooms. Prosecutors say Reddy and his sons forced the girls to have sex with them when they visited the estate.

  Eventually, the men arranged to smuggle the girls into the United States, claiming they were daughters or wives of other nationals Reddy had sponsored into the country as his employees.

  The three men controlled where the girls lived, worked, ate, how much they earned and whether they attended school. "They also did so by, among other things, scolding, belittling, threatening, beating and raping the victims," the indictment alleges.

  It also lists the victims who the two allegedly forced to have sex with them from 1992 to 1999; six instances involved Vijay Lakireddy and two Prasad Lakireddy.

  "This indictment begins to reveal the broad range of abuse that the victims of the Lakireddy conspiracy suffered at the hands of Prasad and Vijay Lakireddy," said Jayashri Srikantiah, an attorney with the ACLU's Immigrants' Rights Project.

  "Their father's plea exposed only a portion of a large-scale, family-run conspiracy to bring men, women and girls into this country to exploit them."

  The two sons are charged with conspiring to bring foreign nationals into the country illegally for immoral purposes, harboring foreign nationals for immoral purposes and traveling with the intent to have sex with a juvenile.

  In addition, Prasad Lakireddy is charged with transporting illegal aliens and witness tampering.

  Vijay Lakireddy is charged with encouraging and inducing foreigners to enter the country illegally, visa fraud and making false statements to immigration officials.

  The brothers, both free on bond, pleaded not guilty Tuesday morning in the courtroom of Magistrate Judge Wayne Brazil.

  "None of these charges are true," said George Cotsirilos, Vijay Lakireddy's attorney. "My concern now is whether (Vijay) can get an impartial jury because of all the publicity surrounding the case."

  If convicted, Prasad Lakireddy faces a maximum sentence of 80 years in prison and a $2.2 million fine. Vijay Lakireddy faces 115 years and $3.7 million fine.

  Police began investigating Reddy after a fire at one of his apartment complexes in Berkeley, where a 17-year-old Indian girl died from inhaling carbon monoxide fumes from a faulty heater. The girl was one of three women Reddy is accused of having imported for sex.

  Reddy pleaded guilty in March to transporting minors for sex, conspiracy to commit immigration fraud and making false statements on a tax return.

  His brother Jayaprakash Lakireddy, 47, and sister-in-law Annapurna Lakireddy, 46, pleaded guilty to committing immigration fraud. Reddy is scheduled to be sentenced June 19.

  Leslie Fulbright covers crime and public safety. Reach her at 510-262-2728 or lfulbright@cctimes.com.