Formula E race: Telangana Cabinet gives nod to investigate alleged irregularities

Hyderabad: Axe hovering over BRS working president KT Rama Rao (KTR) as the Telangana Cabinet has given a green signal to begin an investigation into the alleged irregularities in the Formula E case.

In the Cabinet meeting held at Assembly Committee Hall-1, Telangana Legislative Assembly here on Monday, Telangana I & PR Minister Ponguleti Srinivasa Reddy said that a thorough discussion was held with regard to the alleged irregularities held in the Formula-E race.

During the Cabinet, a decision was taken to proceed further with an inquiry on KTR, Reddy said.

Elaborating further, the minister said that Telangana Governor Jishnu Dev Varma had approved the inquiry into the Formula-E car race and gave clearance to the state government. Chief Secretary A Santhi Kumari was given permission to investigate IAS officer Arvind Kumar.

Reddy said that a letter of permission to investigate would be sent to the ACB by the Chief Secretary tonight or Tuesday.

“I cannot comment on the arrest of KTR. The law will take its own course. Why are the BRS leaders touring Delhi frequently if there were no irregularities during the Formula E car race? In the Assembly, the Opposition MLAs are behaving like goons. They are frequently disrupting the ongoing winter Assembly sessions with placards and slogans because there was no topic to talk about,” the minister said.

“It is up to them whether they will do Padyatra or any other yatra after jail. Everything will be revealed when the time comes for the Power Commission. Cases will also be registered against agencies. A large amount of irregularities happened in the Formula E car race scam,” Reddy said.

Based on a complaint filed by the Telangana MAUD department, the Anti Corruption Bureau (ACB) is looking into the allegations and so far, no case has been registered.

Soon after Congress came to power in Telangana, authorities found that the previous BRS government paid Rs 54 crore including Rs 8 crore in taxes to ABB Formula E, the organizers of Formula E season 10 in Hyderabad.

This was allegedly done without the cabinet's approval. Following this, a memo was served to senior IAS officer Arvind Kumar asking why such a transaction was carried out and with whose permission. Congress’ main allegation was why BRS spent Rs 55 crores on Formula E? And why was no action taken against Ace Nxt Gen, a subsidiary of Greenko, for defaulting and backing out of the event.

Subsequently, the event scheduled to be held in February 2024, was cancelled. The promoters later said it was a 'breach of contract'.