Formula E Race Case: Trouble For KTR As Telangana ACB Says BRS Gained Rs 44 Crore In Electoral Bonds

Last Updated:September 10, 2025, 15:59 IST

Reacting to the report, KT Rama Rao dismissed the case as fabricated and said he was ready to face a lie-detector test in front of the media

BRS Working President KT Rama Rao. (PTI)

The Telangana Anti-Corruption Bureau (ACB) has established quid pro quo dealings in the Formula E Race case. After a nine-month probe, investigators concluded that the Hyderabad Metropolitan Development Authority (HMDA) incurred a loss of Rs 75.88 crore, while Formula-E Operations (FEO) gained Rs 46 crore. In return, the Bharat Rashtra Samithi (BRS) allegedly benefited through electoral bonds worth Rs 44 crore.

Based on these findings, the ACB has sought government approval to prosecute former minister and BRS working president KT Rama Rao along with other accused.

According to sources, the inquiry revealed that Ace NextGen Pvt. Ltd, the original sponsor, had backed out after disputes with FEO stalled Season 10. KTR then approved a proposal making HMDA the promoter and host city, resulting in the diversion of Rs 54.88 crore from HMDA funds without mandatory clearance from the finance department. A fresh deal signed in October 2023 further burdened the government with nearly Rs 90 crore in payments and infrastructure responsibilities, despite the model code of conduct being in force.

The ACB also found that KTR’s intervention shielded Ace NextGen from an additional Rs 600 crore obligation under the original agreement, effectively shifting the liability onto the state exchequer.

Reacting to the report, KTR dismissed the case as fabricated. “Not a single rupee changed hands. I am ready to face a lie detector test here in front of the media. Do it for chief minister Revanth Reddy too in front of the ACB DGP. The truth will come out crystal clear. Doodh ka Doodh, Paani ka Paani ho Jayega [let the litmus test happen].” he said.

The FIR names KTR as the prime accused (A1), IAS officer Arvind Kumar as Accused No.2 (A2), and HMDA chief engineer BLN Reddy as Accused No.3 (A3), along with senior officials and private partners. The case will now move to the Vigilance Commission, following which the Governor’s sanction will be sought to prosecute KTR.

The case originated from a complaint filed on October 18, 2023, by then MAUD principal secretary Dana Kishore and was formally registered by the ACB on December 18, 2024.

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