Union Minister for Culture and Tourism G Kishan Reddy criticized the State government on Sunday, claiming that the Hyderabad Outer Ring Road (ORR) was involved in a large scam. He accused the Kalwakuntla family of destroying the ORR, which is a significant source of revenue for the State. Reddy challenged the Kalwakuntla family to allow an audit of the tender process or a CBI probe to determine if there was corruption involved.
Reddy stated that if the BJP government comes to power in Telangana, they will conduct a full inquiry and hold those involved in the scam accountable. The government had awarded the ORR bid to IRB Infrastructure Developers Ltd for Rs 7,380 crore for 30 years. A company called Egal Infra has already been given toll collection for Rs 415 crore to HMDA.
According to Reddy, several experts have said that a 10 percent increase in toll collection could yield about Rs 75,000 crore for 30 years, while a 15 percent increase could generate Rs 2.7 lakh crore for 30 years. However, the BRS government, sensing that it would not return to power, handed over the ORR for Rs 7,380 crore advance payment without specifying when it would have to be deposited in the government account.
Reddy also claimed that IRB is maintaining the Mumbai-Pune expressway project and that the Maharashtra government was receiving Rs 8,875 crore for leasing it for ten years and two months. He stated that the government had not disclosed the base value before bidding and asked why Telangana preferred to fix 30 years when several states had been fixing the maximum period of 10-15 years.
Reddy asked how could the government fix 30 years when the current HMDA master plan lasts only until 2031. He pointed out that Crisil had studied the ORR and submitted a report, but the government had roped in another entity to call for a fresh report without disclosing it. Reddy also asked how Rs 100 crore had been increased over and above the original quoted tender price. He stated that the government had turned the ORR into an ATM and that it was their responsibility to clear doubts over the project.
