Hyderabad: The ongoing investigation by the Enforcement Directorate into Formula E race scam took an interesting turn on Thursday with the agency seeking details of the assets and bank statements of BRS working president and MLA K.T. Rama Rao, who is the prime accused.
The ED grilled Rama Rao for over eight hours at its office in Basheerbagh before letting him go in the evening. Sources said the agency would seek details of assets and bank bank statements of Rama Rao’s family members also since the prime focus of the investigation was whether money was laundered by the accused or his family members.
Earlier in the morning, Rama Rao went to the ED office in an entourage accompanied by BRS legislators and senior leaders. Party workers gathered in large numbers at the ED office and raised slogans in support of their leader, and opposing the Congress. Police made elaborate security arrangements for smooth conduct of the investigation by the ED.
According to sources, the ED sleuths worked on the leads obtained during the investigation of then HMDA officials Arvind Kumar and B.L.N. Reddy and cross-examined Rama Rao. Apparently sensing that the probe agency would focus on his claims of the Formula E race benefiting the Telangana economy by at least Rs.700 crore, Rama Rao furnished a report prepared by Nielsen which estimated that the event generated economic benefits of $82 million.
Rama Rao also submitted a copy of Telangana Electric Vehicle Policy 2020 in support of his claims that the race was organised as part of efforts to establish the state as mobility valley and long-term agenda to promote EV manufacturing in Telangana.
Sources also said Rama Rao, as he did during questioning by the Anti Corruption Bureau, repeatedly sought to know why the original promoters of the race were excluded from the case if the charge against him was that of benefiting the promoter.
Ironically, BRS spokesperson Dr Krishnak Manne tweeted in the morning demanding that the government release the agreement copy which he said would establish that the race is purely a business between the the UK-based FEO and the promoter. He went on to say that there was a clause that would enable the organiser to proceed against the promoter in the event of a breach of contract. “There is no role of then state government or KTR,” he said.
The tweet came as a counter to reports that the HMDA had indeed paid the amount defaulted by the promoter for the ninth season, in contrast to the stand taken by Rama Rao that HMDA had paid the installments for the tenth season as the promoter had opted out of the agreement due to losses in previously.
The BRS’ revelation about the breach of contract clause led to pertinent questions on why Rama Rao rushed the HMDA to make payments despite the agreement empowers the organiser to proceed against the original promoter.
Meanwhile, the ACB, which is investigating the scam summoned Ch Anil, director of the promoting company, for questioning on January 18.
