The Supreme Court docket on Wednesday refused to entertain KT Rama Rao’s petition to quash prison proceedings in opposition to him in reference to the internet hosting of the System E racing championship, and informed the Bharat Rashtra Samithi (BRS) chief that the allegations of corruption in opposition to him must be examined first.
Bharat Rashtra Samithi chief and Telangana chief of opposition KT Rama Rao. (PTI Picture)
Rao, who’s the chief of opposition within the Telangana meeting, sought the SC to quash the proceedings alleging “political vendetta” behind the case, and informed the highest court docket that the allegations of funds made previous to the date of settlement throughout a time when the Mannequin Code of Conduct was in place could possibly be stated to be a foul resolution, however can’t invite criminality beneath the Prevention of Corruption (PC) Act.
“That cannot be a ground to quash the criminal case. All these allegations will have to be seen,” the bench, headed by justice Bela M Trivedi, stated.
The BRS politician was represented by senior advocates CA Sundaram and Siddharth Dave, who submitted that the primary info report (FIR) lodged on December 19, 2024, fails to make out a case.
“You do this because he is the leader of the opposition, and because there is a change in government. Maybe it was a bad policy to host the Formula E race that helped the government earn ₹300 crore. But how does corruption under PC Act come in?” Rao requested.
The bench, additionally comprising justice PB Varale, noticed, “To ask whether a government officer is corrupt or not is like asking whether fish live in water… At this stage, we will not interfere.”
The Congress authorities in Telangana, represented by senior advocate Mukul Rohatgi, sought the dismissal of the petition mentioning that an investigation have to be completed because the FIR reveals a number of inconsistencies within the method through which the deal was signed.
The Hyderabad Metropolitan Improvement Authority (HMDA) was not social gathering to the tripartite settlement executed in October 2022 by the state’s Municipal Administration and City Improvement division. Rao was the minister heading this division at that time limit.
Additional, the FIR alleged that funds made in overseas forex to System E Operations Ltd. (FEO), an organization registered in the UK, had been in violation of guidelines referring to overseas remittances. Additionally, it was additionally alleged that the settlement was executed with out the approval of the council of Ministers. Half cost was made at a time when the MCC was in place in 2023 within the run-up to the state elections, with out approval from the Election Fee of India.
“These matters require investigation. We are unable to do so as he is getting orders of interim protection, one after the other,” Rohatgi stated.
Earlier, the Telangana excessive court docket on January 7 had refused to entertain Rao’s petition forcing him to method the highest court docket. Sundaram then requested the court docket to withdraw the petition and method the excessive court docket to pursue different authorized cures searching for discharge.
“The petition is allowed to be withdrawn,” the bench ordered with out making any additional commentary on the cures open to the petitioner.
The case in opposition to Rao is being investigated by the Telangana anti-corruption bureau (ACB) for offences of prison misconduct by a public servant, punishable beneath sections 13(1)(a) and 13(2) of the PC Act, 1988, together with prison breach of belief and conspiracy beneath sections 409 and 120-B of Indian Penal Code (IPC).
Rao’s attorneys knowledgeable the court docket that for any offence to be made out beneath the PC Act, the components of the offences require entrustment of the contaminated property to the accused and the accused ought to have a dishonest/fraudulent intention to misappropriate the property so entrusted – each of that are lacking within the admitted details said within the FIR.
The tripartite settlement was signed between the state authorities, System E Operations Ltd, ACE Nxt Gen Non-public Ltd – the corporate chargeable for conducting the race for seasons 9 to 12 in Hyderabad.
Rao claimed that the whole funds made to System E Operations Ltd had been as per invoices raised by authorized banking channel. The cost in Pound Sterling was completed as per the settlement phrases and the longer term seasons of the race by no means happened because of the failure of the successive authorities led by chief minister A Revanth Reddy to abide by the sooner settlement.
In response to the petition filed by Rao, the primary season of System E racing championship generated a large income of USD 83 million for the state and the successive authorities breached the settlement by refusing to pay the steadiness quantity and forfeiting the sooner cost made by HMAD.