BRS leader and Telangana Minister KT Rama Rao (KTR) received significant relief on Friday as the Telangana High Court directed the Anti-Corruption Bureau (ACB) not to arrest him until December 30 in the ongoing Formula-E race case. The court’s directive came during a hearing of a lunch motion petition filed by KTR, seeking to quash the First Information Report (FIR) lodged against him.
Interim Relief with Conditions
Justice Natcharaju Shravan Kumar Venkat, presiding over the case, granted interim relief and instructed KTR to cooperate with the investigation. The court has scheduled the next hearing for the following week and directed the state government to submit its counter.
Background of the Case
The Telangana ACB recently registered a case against KTR, the working president of the Bharat Rashtra Samithi (BRS) and an MLA, over alleged irregularities in payments—some made in foreign currency—related to organizing the Formula-E race in Hyderabad. The alleged misconduct pertains to the previous regime, with the FIR accusing KTR, senior IAS officer Arvind Kumar, and retired bureaucrat BLN Reddy of involvement.
The case, filed under the Prevention of Corruption Act and sections of the Indian Penal Code (IPC) addressing criminal breach of trust and conspiracy, was approved by Telangana Governor Jishnu Dev Varma, who sanctioned proceedings against KTR.
KTR’s Defense
KTR has denied the allegations, terming the accusations baseless. “Where is corruption in this? We have paid Rs 55 crore. They [Formula-E] acknowledged the payment. This is a straightforward account. HMDA [Hyderabad Metropolitan Development Authority] has an account in Indian Overseas Bank, and the money was transferred from that account,” KTR stated.
Allegations Against Officials
The controversy began earlier this year when senior IAS officer Arvind Kumar was asked to explain signing an agreement for the Formula-E race without approval from the competent authority. The agreement allegedly resulted in payments totaling Rs 55 crore, mostly in foreign currency.
Formula-E Race Fallout
Formula-E organizers had announced the cancellation of the Hyderabad E-Prix, citing a breach of contract by the Telangana government. The second race in India, originally scheduled for February 10, 2024, was canceled due to the dispute.
This development comes as KTR faces mounting political and legal challenges, with the case now poised to be a significant issue in Telangana’s political landscape. The next hearing in the High Court will determine the course of action.