In a significant political development in Hyderabad, Bharat Rashtra Samithi (BRS) working president KT Rama Rao has launched serious allegations against the Congress-led Telangana government, claiming that an insolvent company has been awarded government contracts worth nearly ₹6,000 crore across multiple crucial infrastructure projects.
Allegations of Financial Irregularities in Government Contracts
Speaking at a press conference held at Telangana Bhavan on Wednesday, KTR revealed that KLSR Infratech Ltd, a company that has been declared insolvent since 2023, has received substantial government contracts between 2024 and 2026. The BRS leader expressed deep concern over how a financially distressed entity could secure such massive projects while allegedly struggling to pay employee salaries amounting to just ₹15 lakh.
Questionable Contract Awards Across Key Sectors
The contracts in question span several vital government initiatives, including:
- Jal Jeevan Mission projects for water supply infrastructure
- Construction of Young India residential schools
- Major irrigation projects across the state
- Road development and infrastructure works
KTR specifically highlighted contracts awarded in the municipal administration department and in Chief Minister A Revanth Reddy's own constituency, raising questions about transparency and due diligence in the tender process.
Supreme Court Intervention and Investigation Demands
The BRS leader emphasized that the Supreme Court has taken serious note of the situation, issuing notices to both the Telangana government and central authorities. The apex court has raised concerns about:
- Large-scale financial transactions continuing despite insolvency proceedings
- Alleged attempts to influence judicial processes
- The company's ability to furnish massive bank guarantees while facing financial distress
The Supreme Court has directed investigations by multiple agencies including:
- Central Bureau of Investigation (CBI)
- Serious Fraud Investigation Office (SFIO)
- Enforcement Directorate (ED)
Political Diversion Tactics Alleged
KTR accused Chief Minister Revanth Reddy of orchestrating a political spectacle using Special Investigation Team (SIT) notices related to telephone tapping cases involving BRS leaders. According to the BRS working president, this move was designed to divert attention from the Supreme Court notices regarding the KLSR Infratech controversy.
The affected BRS leaders mentioned include Harish Rao, former MP Santosh Rao, and party chief K Chandrashekar Rao.
Demands for Immediate Action and Transparency
Expressing serious concerns about potential corruption, criminal conspiracy, abuse of power, and alleged money laundering, KTR made several urgent demands:
- Immediate suspension of all ongoing works by KLSR Infratech
- Cancellation of all contracts awarded to the company
- Blacklisting of KLSR Infratech from future government tenders
- Impartial CBI-led investigation as directed by the Supreme Court
- Explanation from CM Revanth Reddy regarding the contract awards
The BRS leader also called upon Union Minister G Kishan Reddy to exert pressure on the central government to ensure an impartial inquiry, challenging the BJP to demonstrate its sincerity by supporting the probe if they are not shielding the Congress government.
Silence from Accused Parties
Despite multiple attempts to obtain their version of events, KLSR Infratech Ltd has not responded to the allegations leveled against them. Similarly, the Telangana Chief Minister's Office (CMO) has maintained silence on the matter.
When contacted, Telangana Congress president B Mahesh Kumar Goud refused to comment, citing preoccupation with municipal elections in Nizamabad and claiming unfamiliarity with KTR's specific allegations.
The controversy has raised significant questions about governance transparency, financial accountability, and the integrity of public contract allocation processes in Telangana. As the Supreme Court monitors the situation, political observers await responses from the concerned authorities and further developments in this high-stakes financial and political controversy.
