No relief for KTR from the Supreme Court, Quash petition withdrawn

Hyderabad: No relief for BRS working President K T Rama Rao (KTR) from the Supreme Court, as his lawyers choose to withdraw the petition on January 15, 2025.

With this, the Telangana Anti Corruption Bureau and federal agency- Enforcement Directorate can proceed with the investigation in the Formula E race case in which BRS MLA KTR is facing allegations of transferring Rs 55 Cr to an international agency sans the approval of the Cabinet. The arrest of KTR is inevitable, if it is a need.

Earlier, the Telangana High Court dismissed the petition filed by KTR pleading to quash the ACB FIR filed against him. Following this KTR’s legal team knocked the doors of Supreme Court however no respite.

The ACB is likely to issue KTR a second notice to appear before the agency. This will be his second notice, the first being on the 9th of January. In addition KTR is scheduled to appear before the Enforcement Directorate on the 16th January (Thursday).

After a bench of Justices Bela M Trivedi and Prasanna B Varale said it was not inclined to interfere with the high court order, KTR's counsel withdrew the appeal and the matter was dismissed as withdrawn.

On January 7, the high court refused to quash the FIR against him in the case, removing the protection from arrest given to him.

On December 31, 2024, the high court reserved its orders on the plea filed by KTR after hearing the arguments of the state government and his counsel in the case registered by the state anti-corruption bureau (ACB).

The ACB alleged authorised payments to the tune of Rs 55 crore, mostly in forex, were made to Formula E Organisation without necessary approvals.

The High Court in its order said the allegations indicated Rao without any approval from the state cabinet or the finance department directed the Hyderabad Metropolitan Development Authority (HMDA) to pay huge sums of money to a foreign company.

"Whether the petitioner directed the said payments with a dishonest intention to cause gain to himself or third parties is required to be investigated. The allegations when read together make out a prima facie case of wrongdoing and misappropriation of funds of the HMDA," said the high court order.

The investigating agency should have a reasonable opportunity to investigate and collect evidence, and the court cannot "haste and thwart" the probe, it added.

The ACB on December 19 last year registered a case against Rao under relevant sections of the Prevention of Corruption Act and IPC dealing with criminal misappropriation, criminal misconduct, criminal breach of trust and criminal conspiracy for allegedly causing an approximate loss of Rs 55 crore to the exchequer.

Though the race was supposed to be held in February 2024 as well, it was cancelled after the Congress government came to power in the state in December, 2023.

KTR, who was the municipal administration minister during the previous BRS regime, was summoned by the ED for questioning on January 7 over the alleged irregularities in organising the race in Hyderabad but he sought time.

KTR, now an MLA, was named the prime accused in FIR whereas senior IAS officer Arvind Kumar and retired bureaucrat B L N Reddy were named the other accused.