HYDERABAD: The Anti-Corruption Bureau (ACB) has summoned former Municipal Administration and Urban Development (MAUD) minister KT Rama Rao to appear for questioning on January 6, 2025, as part of its investigation into the transfer of Rs 55 crore to Formula-E Operations Limited. The funds were allegedly transferred without necessary approvals, violating Reserve Bank of India (RBI) guidelines.
The ACB has also summoned senior IAS officer and former MAUD Special Chief Secretary Arvind Kumar and former HMDA chief engineer BLN Reddy, though dates for their appearance have not been confirmed. The case was registered on December 19, 2024, under the Prevention of Corruption Act (Sections 13(1)(a) and 13(2)) and Sections 409 and 120(B) of the IPC based on a complaint by MAUD Principal Secretary M Dana Kishore. According to the complaint, the funds were transferred without Cabinet approval or authorisation from the Finance department, violating RBI norms. The government reportedly incurred penalties from the Income Tax department due to this violation.
ACB officials recorded Dana Kishore’s statement over seven hours to understand the alleged violations during the Formula-E race agreements in two phases.
Earlier, the ACB had sought permission from the Governor to proceed against Rama Rao under Section 17A of the PCA, since the BRS working president is also a member of the state Legislature. After consulting the Attorney General of India, the Governor granted permission. Similarly, the ACB received authorisation from the chief secretary to file cases against Arvind Kumar and BLN Reddy.