Musi project row: KTR alleges ₹1.5L Cr scam; BRS MLAs stage walkout from Assembly

KTR questioned the steep escalation in the project’s estimated cost, from an initial ₹16,000 crore to a purported ₹1.5 lakh crore.

By Sistla Dakshina Murthy
Published on : 18 March 2026 12:04 PM IST

Musi project row: KTR alleges ₹1.5L Cr scam; BRS MLAs stage walkout from Assembly

Hyderabad: Bharat Rashtra Samithi (BRS) on Wednesday staged a walkout from the Telangana Assembly, alleging ₹1.5 lakh crore corruption in the proposed Musi River rejuvenation project.

BRS working president and Siricilla MLA K.T. Rama Rao (KTR) clarified that the party is not against the river’s revival, but strongly opposes what he termed a “₹1.5 lakh crore financial scam” under the guise of the project.

Opposition targets project cost escalation

KTR questioned the steep escalation in the project’s estimated cost, from an initial ₹16,000 crore to a purported ₹1.5 lakh crore.

He sought clarity on discrepancies between figures mentioned in public statements by the Chief Minister and those presented in the Assembly, which reportedly range between ₹4,000 crore and ₹5,000 crore.

Concerns over demolitions and land acquisition

The BRS raised serious concerns over the impact of the project on residents. Citing Gazette notifications, KTR stated that more than 10,000 houses could face demolition, while over 3,260 acres of land may be acquired.

He questioned the expansion of the buffer zone and the lack of clarity on the criteria used for such decisions.

Demand for transparency on DPR

Highlighting the alleged lack of transparency, KTR said there is no clear information on the existence of a Detailed Project Report (DPR).

He claimed that even officials associated with the Musi River Development Corporation indicated that no DPR is currently available. The BRS demanded that, if prepared, the DPR be tabled in the Assembly immediately.

Questions over implementation and phasing

The party also sought details on how many phases the project would be executed in and the total extent of land acquisition. BRS MLAs, including Sudhir Reddy, Kaleru Venkatesh, and Bandaru Lakshma Reddy, pressed the government for comprehensive disclosures on these aspects.

Allegations on public consultation process

KTR criticised the government for allegedly holding presentations in closed settings such as five-star hotels rather than engaging directly with affected communities. He said the BRS chose to boycott such presentations and insisted on public consultations with residents likely to be impacted.

Contradictions in buffer zone and notices

Pointing to inconsistencies, KTR said the government claimed a 50-metre buffer zone along the river, but eviction notices were issued to residents in areas like Hanuman Nagar, located nearly 5 kilometres away. He also questioned how initial estimates of 1,400 affected houses rose sharply to over 10,000.

Funding and ADB loan doubts

KTR cast doubt on the project’s financing, stating that no loan has been sanctioned by the Asian Development Bank (ADB). He alleged that while the government claimed in-principle approval, ADB officials had clarified that no DPR had been submitted as of January 23 and no funding had been approved as of March 11.

Allegations over DPR preparation

The BRS leader further alleged that the DPR preparation was assigned to a company named “Main Heart,” which he claimed has faced bans in multiple countries. He questioned how a report that typically requires 18 months was reportedly completed in just two months.

Call for Accountability

Concluding his remarks, KTR accused the government of misleading both the Assembly and the public. He warned that the BRS would continue to oppose any decisions taken without transparency, particularly those affecting people’s homes and livelihoods in the name of the Musi project.

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