Hyderabad: In a major development, Telangana Governor Jishnu Dev Varma has granted formal approval for an inquiry into K.T. Rama Rao (KTR), the senior Bharat Rashtra Samithi (BRS) leader, in relation to alleged financial irregularities in the hosting of the Formula-E race in Hyderabad. With the Governor’s clearance now in place, the state’s Anti-Corruption Bureau (ACB) is expected to intensify its investigation — and sources suggest that the possibility of an arrest cannot be ruled out, depending on how the inquiry unfolds.
Background of the Allegations
The case was initially filed last year, accusing KTR of misusing his ministerial power and government funds during his tenure as Minister for Municipal Administration and Urban Development. The core allegation centers on a suspected ₹54.88-crore scam connected to the Formula-E event expenses.
A whistleblower — a government official — claimed that foreign remittances related to the race were made without requisite regulatory clearances, triggering an additional tax burden of ₹8.06 crore on the government. The complaint also alleges that these payments were processed during the Model Code of Conduct ahead of the 2023 Assembly elections, allegedly without prior Election Commission approval.
The ACB Investigation and KTR’s Pushback
In June, ACB officers interrogated KTR for nearly eight hours. They requested his mobile phone and other electronic devices for forensic analysis — a demand he declined, citing legal and constitutional protections.
KTR strongly denied wrongdoing and fired back politically, accusing the ruling Congress government of directing the investigation. “These questions were given to ACB officials by the government,” he said, targeting Chief Minister A. Revanth Reddy, whom he alleged was using the anti-corruption machinery for political vendettas.
Arrest Possibility: What’s Next?
With the Governor’s go-ahead, the ACB now has formal sanction to deepen its probe, and an arrest is now a realistic possibility, depending on what the investigation uncovers. If the ACB finds compelling evidence — such as proof of misappropriated funds, unauthorized transfers, or abuse of ministerial power — they could file a chargesheet and seek judicial custody.
Legal experts suggest that if the evidence is strong, ACB officers may apply for KTR’s arrest to prevent tampering with evidence or influencing witnesses. However, whether a formal arrest is made will depend on the findings, the strength of the case, and decisions by both investigative and judicial authorities.
Parallel Investigation by the ED
Meanwhile, the Enforcement Directorate (ED) has already registered a separate case, indicating a multi-agency probe. Their investigation could overlap with the ACB’s findings, especially on money-laundering or foreign remittance aspects, further complicating KTR’s legal position.
Political Implications
The prospect of an arrest could seriously escalate political tensions in Telangana. KTR, a prominent face in BRS politics and the son of former Chief Minister K. Chandrasekhar Rao, is likely to frame any legal action as politically motivated. On the other hand, the ruling Congress party may argue that this is a legitimate anti-graft exercise, not a vendetta.
What to Watch
- Whether the ACB proceeds to file formal charges or a chargesheet.
- If ACB seeks arrest or judicial custody for KTR in the coming weeks.
- How the ED’s investigation develops and whether it dovetails with ACB’s case.
- Political fallout: how BRS and Congress react, especially in the run-up to future elections.