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SC dismisses KTR’s plea against FIR in Formula-E Race ‘scam’ case

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New Delhi: The Supreme Court on Wednesday dismissed as withdrawn a Special Leave Petition (SLP) filed by Bharat Rashtra Samithi (BRS) MLA Kalvakuntla Taraka Rama Rao (KTR) challenging a Telangana High Court order that refused to quash an FIR against him in connection with the alleged Formula-E race ‘Scam’ case.

A bench comprising Justice Bela M. Trivedi and Justice P.B. Varale declined to interfere at this stage, prompting KTR to withdraw his plea.

The FIR accuses KTR, the then Urban Development Minister, of misusing funds of the Hyderabad Metropolitan Development Authority.

The Telangana High Court, in its January 7 order, observed that as the Urban Development Minister, KTR had control over HMDA and its funds.

The High Court held that there was a prima facie case against him under Section 409 of the Indian Penal Code (criminal breach of trust by a public servant) and under Sections 13(1)(a) and 13(2) of the Prevention of Corruption Act (criminal misconduct by a public servant).

Justice K. Lakshman of the High Court noted that HMDA is a corporate body with its funds, and the allegations in the FIR suggested that KTR misused these funds for purposes unrelated to public welfare.

Senior Advocate Mukul Rohatgi, appearing for the State of Telangana, opposed the plea, arguing that the investigation was still ongoing and that interference at this stage was premature.

The advocate representing KTR argued that the case was politically motivated, with no evidence of personal financial gain.

“The entire charge is about payments made for the event to prevent a loss. There is no allegation that KTR benefited personally or took a single rupee,” the counsel submitted.

The bench refused to entertain the plea, observing that it was not inclined to intervene in an ongoing investigation.

After the court expressed its disinclination, KTR withdrew his petition.

The High Court had previously rejected KTR’s contention that the FIR lacked ingredients of Section 409 of the IPC, noting that as the Minister for the MA & UD Department, he had direct control over HMDA and approved financial decisions related to the event.

The court stated, “The allegations in the FIR clearly state that it was HMDA’s money which was misused. Therefore, prima facie, the funds belonging to HMDA were entrusted to the petitioner.”

With the withdrawal of the SLP, the investigation into the allegations against KTR will proceed as per the Telangana High Court’s earlier directions.

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