The Enforcement Directorate (ED) has summoned Bharat Rashtra Samithi (BRS) leader and former Telangana minister KT Rama Rao (KTR) in connection with alleged financial irregularities linked to the Formula E race held in Hyderabad in February 2023. Senior IAS officer Arvind Kumar and former Hyderabad Metropolitan Development Authority (HMDA) chief engineer BLN Reddy have also been summoned as part of the ongoing investigation.
According to the ED, KTR has been asked to appear for questioning on January 7, while Mr. Kumar and Mr. Reddy are scheduled for interrogation on January 2 and 3, respectively. The investigation follows an FIR lodged by the Telangana Anti-Corruption Bureau (ACB) that flagged significant financial discrepancies.
The allegations focus on unauthorised financial transfers amounting to ₹55 crore from the HMDA to Formula E Operations Limited (FEO) without the necessary government approvals. The state’s initial agreement for the event had limited its involvement to providing infrastructure and civic amenities. However, investigators claim that an additional ₹54.8 crore was transferred for the 2023 race, raising further concerns. A broader financial commitment exceeding ₹600 crore for future races is also under scrutiny.
The Enforcement Case Information Report (ECIR) filed by the ED names KTR, Mr. Kumar, and Mr. Reddy as accused in the case. This development adds another legal challenge for the BRS party and the family of former Telangana Chief Minister K Chandrashekar Rao (KCR).
This is the second money laundering case implicating KCR’s family. KTR’s sister, K Kavitha, was earlier arrested in the Delhi excise policy case and later released on bail.
The ED’s summons has intensified political tensions in Telangana, with opposition parties seizing the opportunity to target the BRS leadership. Meanwhile, KTR and the BRS are expected to respond to the allegations in the coming days.
Sources By Agencies
