The ACB has reportedly established a quid pro quo, stating that ₹44 crore was routed to the BRS through electoral bonds by a sponsoring firm linked to the Formula E event.
Published Sep 09, 2025 | 6:40 PM ⚊ Updated Sep 09, 2025 | 8:10 PM
The ACB questioned KTR and former Special Chief Secretary Arvind Kumar multiple times over a nine-month investigation.
Synopsis: The Anti-Corruption Bureau has sought the Telangana Governor’s sanction to prosecute BRS working president KT Rama Rao, senior officials, and others in connection with alleged irregularities in the organisation of the Formula E races in Hyderabad. The agency questioned KTR and former Special Chief Secretary Arvind Kumar multiple times over a nine-month investigation and has reportedly established a quid pro quo.
The Anti-Corruption Bureau (ACB) probing alleged irregularities in the organisation of Formula E races in Hyderabad has submitted a detailed report to the Telangana government, seeking the Governor’s permission to prosecute senior BRS leaders and officials of the previous regime.
Those named include BRS working president KT Rama Rao, former Municipal Administration and Urban Development (MA&UD) Special Chief Secretary Arvind Kumar, former chief engineer of the Hyderabad Metropolitan Development Authority (HMDA) BLN Reddy, Ace Nxt Gen Pvt’s Kiran Rao, and Formula E Operations (FEO).
According to sources, the ACB has reportedly established a quid pro quo, stating that ₹44 crore was routed to the BRS through electoral bonds by a sponsoring firm linked to the Formula E event.
The agency, which questioned KTR four times and Arvind Kumar five times during its nine-month investigation, is preparing to file a charge sheet once the Governor’s sanction is cleared.
The Chief Secretary is likely to forward the ACB’s report to the Vigilance and Enforcement Department for further action.
KTR on Tuesday reiterated that the Formula-E case was nothing but a “bogus case.” He threw an open challenge, saying he was ready to stay back and undergo a lie detector test if anyone wished.
KTR said he had made every effort to bring the Formula-E race to Hyderabad. He admitted that he had directed the release of ₹46 crore from the government but clarified that the funds had been deposited directly into the designated account.
“Not a single rupee has been misused. Every rupee is accounted for. Where then is the corruption?” he asked. He asserted that even if prosecution proceeded or charge sheets were filed, nothing would stand.
Reiterating his focus, KTR said BRS would continue to fight on the promises and guarantees given by the Congress party. He also challenged Chief Minister Revanth Reddy to appear with him on live television and face a lie detector test.
“Let the people decide who is telling the truth,” he said, while reminding that the public had not forgotten the episode when Revanth Reddy was once caught on camera with bundles of ₹50 lakh in currency notes.
Accusing the ruling Congress of trying to divert attention from real public issues by raking up the Formula-E case, KTR asserted that BRS would not be distracted. “We will continue to question the government on people’s issues,” he said.
Telangana Governor Jishnu Dev Varma sanctioned the ACB investigation last December into alleged irregularities in funding one of the four proposed seasons of the Formula E races in Hyderabad.
To conduct Seasons 9, 10, 11 and 12 of the Formula E race, the Municipal Administration Department under the former BRS government signed a tripartite agreement with Formula E Organisers (FEO) and the promoter Ace Nxt Gen Pvt Ltd in 2022.
The ninth season of the race was held in Hyderabad on 10 and 11 February 2023.
Ace Nxt Gen, which was expected to finance four seasons, withdrew unilaterally from the second season, citing losses in the first.
As FEO was willing to organise the second season, the then principal secretary of the Municipal Administration Department, Arvind Kumar, on the advice of then Municipal Minister KT Rama Rao, transferred ₹55 crore to FEO, including ₹9 crore as taxes.
The Hyderabad Metropolitan Development Authority (HMDA) transferred the amount after dropping Ace Nxt Gen as promoter. The government later included HMDA as the promoter.
HMDA then signed an MoU with FEO on 30 October 2023, which is considered another irregularity.
Other alleged irregularities include releasing funds to FEO after the schedule for the Assembly elections in Telangana was announced without obtaining permission from the Election Commission, and making payments to FEO in British pounds without clearance from the Reserve Bank of India.
(Edited by Dese Gowda)
