Leonia Resorts sale: BRS accuses Congress' Ranjith Reddy of fraud; demands CBI, ED probe

Hyderabad: Bharat Rashtra Samithi (BRS) has alleged a massive financial scam in the sale of Leonia Resorts.

The party has accused senior Congress leader and former MP G Ranjith Reddy of engineering a fraudulent deal worth several thousand crores of rupees.

The party has demanded an immediate investigation by the Enforcement Directorate (ED) and the Central Bureau of Investigation (CBI).

Addressing a press conference at the BRS headquarters here, former MLA A Jeevan Reddy claimed that the resort properties sprawling over 180 acres near the Outer Ring Road (ORR) in Shamirpet were grossly undervalued and acquired through questionable means.

Originally owned by Leo Meridian Infra Projects & Hotels, the property was under insolvency proceedings due to a debt of Rs 2,221 crore.

Jeevan Reddy alleged that the entire property was sold to Jalavihar Entertainment Consortium, which he described as a front for Ranjith Reddy, for just Rs 327 crore, far below its actual market value, which he claimed could exceed Rs 10,000 crore.

According to Reddy, Ranjith Reddy leveraged his political influence to eliminate competition by discouraging other potential bidders during the National Company Law Tribunal (NCLT) proceedings. “Two interested parties were forced to withdraw, paving the way for a one-horse race,” he said.

He further alleged that the undervalued sale caused major financial losses to public sector banks, including the State Bank of India, Bank of Baroda, Canara Bank, Union Bank of India, and Indian Overseas Bank.

“This is not just a corporate issue; it’s a misuse of public money,” Jeevan Reddy said. “We demand that central investigative agencies intervene and expose the truth behind this scam.”