Hyderabad: The Enforcement Directorate (ED) has issued a summons to KT Rama Rao (KTR), the working president of the Bharat Rashtra Samithi (BRS) and former minister, to appear before it on January 7. This is in connection with alleged financial irregularities related to the Formula E race held in Hyderabad. Two other officials, former MAUD Secretary Arvind Kumar and HMDA Chief Engineer BLN Reddy, have also been summoned. They are scheduled to appear before the ED on January 2 and January 3, respectively.
BRS leaders have announced their intention to challenge the case legally. Party leader B Vinod Kumar stated that the allegations against KTR, which involve payment irregularities and corruption during the 2023 Formula E race in Hyderabad, do not fall under the jurisdiction of the Prevention of Money Laundering Act (PMLA).
The ED recently registered an enforcement case information report (ECIR), equivalent to an FIR, based on a complaint by the Telangana Anti-Corruption Bureau. The investigation is examining whether financial commitments exceeding Rs 600 crore for upcoming Formula E seasons breached any legal or financial protocols.
KTR’s role in approving funds and the alleged violation of guidelines in releasing Rs 55 crore to the event organizers is under detailed scrutiny. The ED will record statements from Arvind Kumar and BLN Reddy, which are expected to be key in building a chargesheet against KTR. The former minister will be questioned about these findings during his appearance.
KTR, who played a significant role in hosting the Formula E race in Hyderabad during his tenure as municipal administration minister, has strongly denied the allegations. While the race was initially planned to take place again in February 2024, it was canceled following a change in government after the Congress party came to power in December 2023. Additionally, Governor Jishnu Dev Varma recently authorized the Anti-Corruption Bureau to file a case against KTR, further escalating the matter.
