Corruption case registered against BRS leader KT Rama Rao in Formula E race in Hyderabad

BRS working president and MLA K T Rama Rao

The Anti-Corruption Bureau (ACB) on Thursday registered an FIR against BRS working president and MLA K T Rama Rao over alleged irregularities in the conduct of Formula-E race in Hyderabad during the previous regime, official sources said.

K T Rama Rao has been designated as Accused No. 1 (A-1) in the FIR. The case also implicates former Municipal Administration Department Special Chief Secretary Arvind Kumar, named as Accused No. 2 (A-2), and Hyderabad Metropolitan Development Authority (HMDA) Chief Engineer B.L.N. Reddy, listed as Accused No. 3 (A-3).

The FIR follows allegations that Rs 55 crore was transferred from HMDA funds to Formula E Operations (FEO) without requisite approvals, purportedly under KTR’s directives. The funds were intended for organizing a second Formula E race in Hyderabad, which was later canceled after the Congress government assumed office in December 2023.

Telangana Governor Jishnu Dev Varma granted permission for the prosecution of KTR and Arvind Kumar on December 12, 2024, after consulting the Attorney General. Subsequently, the state Cabinet directed Chief Secretary A. Santhi Kumari to initiate the ACB probe.

Earlier this year, the government had sought an explanation from a senior bureaucrat over entering into the agreement concerning the Formula-E race allegedly without the approval of the competent authority and also making a payment of Rs 55 crore. Rama Rao, who was the Municipal Administration minister during the previous BRS regime, was instrumental in hosting the race last year in Hyderabad.

Though the race was supposed to be held in February this year as well, it was cancelled after the Congress government assumed office in December 2023. Rama Rao had on Tuesday said he would face the cases against him legally.

Charging that the Congress government has been making baseless allegations against Rama Rao on the issue for several months now, BRS said the previous government had entered into an agreement with the organisers of Formula-E race to benefit Telangana