Hyderabad: Former minister KT Rama Rao (KTR) is set to appear before the Enforcement Directorate (ED) on Thursday, January 16, in connection with the Formula E race case.
Initially scheduled for January 7, KTR had requested a postponement, leading the ED to issue a new notice for today’s appearance.
The investigation revolves around alleged violations related to the Formula E race, with the Anti-Corruption Bureau (ACB) also probing the matter.
Formula E race ‘scam’: SC dismisses KTR’s quash petition
ED begins probe
The ED has opened a separate case concerning payments made to a foreign entity without the Reserve Bank of India (RBI) approval.
Notably, KTR is identified as a key suspect in this case, labelled as A1 by the ACB, which has already questioned other officials involved, including former chief engineer BLN Reddy and special chief secretary Arvind Kumar.
Recently, KTR’s petition to quash the FIR filed against him by the ACB was dismissed by the High Court.
SC dismisses KTR’s petition
Following this, the Supreme Court also ruled on Wednesday, January 15, that KTR’s subsequent petition was “dismissed as withdrawn,” in a setback to the former minister.
The FIR was registered under Sections 13 (1) (A) and 13 (2) of the Prevention of Corruption Act, along with Sections 409 and 120 (B) of the Indian Penal Code.
On October 25, 2022, the MA&UD department entered into a tripartite agreement with FEO Limited and Ace Nxt Gen Private Limited (sponsor) for conducting Formula E races for 9, 10, 11, and 12 seasons in Hyderabad.
The ‘Season 9’ of the race was held on February 11, 2023, when the BRS government was in power. However, later the sponsor backed out citing financial losses. The HMDA which was under KTR’s ministry transferred about Rs 55 crore to FEO.
The money in British Pounds was transferred allegedly without mandatory approval from the Reserve Bank of India (RBI).
The Congress government that took over in December 2023 cancelled the Formula E race and also sought an inquiry into the transfer of government funds without following the norms and the allegations of corruption.
