ACB Gets Vigilance Nod in Formula E Racing Case
Officials of Formula E Race Limited, a UK-based organiser of the event, were also questioned through video conferencing a few months ago.
Hyderabad: Clearing the way for ACB to initiate legal proceedings in the Formula E racing irregularities case, the state vigilance and enforcement officials on Wednesday cleared the prosecution of senior IAS officer Arvind Kumar and former HMDA officer B.L.N. Reddy.
BRS working president K.T. Rama Rao is also named as an accused in the case. The ACB had earlier registered cases in connection with the Formula E racing irregularities and has been investigating the matter. The agency questioned Rama Rao, Arvind Kumar, and Reddy during the course of the probe.
Officials of Formula E Race Limited, a UK-based organiser of the event, were also questioned through video conferencing a few months ago. Investigations revealed that during the BRS regime, Arvind Kumar directed B. L. N. Reddy, then serving in HMDA, to transfer funds to the Formula E Race Company without Cabinet approval or clearance from the finance department.
Acting on directions from higher-ups, Reddy allegedly transferred Rs.54 crore from the HMDA account to the UK-based company’s accounts. The ACB also uncovered evidence of a quid pro quo arrangement. As public servants are involved in the case, the ACB was required to take permission from the state government to prosecute public servants involved.
After examining the case in detail, the vigilance and enforcement department recommended prosecution, and the government has now accorded clearance.
Meanwhile, the enforcement directorate (ED), central investigating agency for financial crimes, has registered cases based on the ACB’s FIR and initiated its own investigation. The ED questioned K. T. Rama Rao, Arvind Kumar, and B. L. N. Reddy as part of its probe.