Advertising firm owner from Chintal held for cheating TSRTC Rs 21 crores in unpaid dues

Hyderabad: The Telangana State Road Transport Corporation (TSRTC) on Saturday warned that legal action will be taken against companies that violate agreements and evade dues. The TSRTC has taken this decision in connection with the arrest of Go Rural India Private Limited, advertising agency owner Vaddanu Suneel who is said to owe the TSRTC Rs 21.72 crores in unpaid dues.

The Economic Offence Wing Team-5 on Friday arrested the owner, Suneel, a Chintal resident, in response to a complaint made during the first week of January. It is alleged that Suneel misused the money for personal purposes and neglected to fulfil his contractual commitments with the TSRTC. He has been charged under sections 406 (criminal breach of trust) and 420 (cheating) of IPC.

TSRTC reviews pending debts

In September 2015, Go Rural India, an advertising firm, and TSRTC secured a contract for advertising on Metro Express and Metro Deluxe buses operating in the Hyderabad and Secunderabad regions.

The six-year contract was signed and expired in September 2021. The licensing price was not paid by the company by the agreement on time and Suneel had allegedly misappropriated Rs 10.74 crore for the Hyderabad region and Rs 10.97 crore for the Secunderabad region, totalling Rs 21.72 crore.

After assuming charge as TSRTC MD, VC Sajjanar reviewed the outstanding debts. Authorities have been instructed to prosecute enterprises that fail to pay the licence fee on time following the regulations.

Cheques from Go Rural India invalid

In the wake of these orders, the organisation has issued several legal notices to Go Rural India, an ad agency. In response to the notices, the advertising agency provided cheques totalling Rs 55 lakhs which were invalid. TSRTC officials have separately filed complaints regarding this fraud at Marredpally and Afzalgunj police stations.

The Central Crime Station in Hyderabad is now handling the case. Go Rural India’s owner Suneel was taken into custody by the investigating officers on Friday. The TSRTC management will take legal action against enterprises who wilfully fail to pay licence fees. It also has said unequivocally that people who perpetrate fraud without making the required payments would face consequences.