Hyderabad (Telangana) [India], February 5 (HBTV): Bharat Rashtra Samithi (BRS) spokesperson Manne Krishank on Wednesday alleged that KLSR Infratech, a company facing bankruptcy proceedings, was awarded contracts worth INR 2,500 crore in Telangana despite being under investigation.
Krishank claimed that the company was raided by the Enforcement Directorate in 2018 and was identified as a shell company. Speaking to ANI, he alleged that National Company Law Appellate Tribunal member Justice Sharad Kumar had recused himself from a case involving KLSR Infratech after facing pressure from a senior judge to issue a favourable order.
‘KLSR Infratech company in 2018 was named as a shell company by the ED when they raided the company. Last year, NCLAT member Justice Sharad Kumar gave a sensational statement that he was recusing from hearing a case because he was pressured by a senior-most judge to give a favourable order to the company KLSR Infratech,’ Krishank said.
Calling the situation ‘shocking’, the BRS spokesperson alleged that despite the company facing bankruptcy and insolvency proceedings for the past two-and-a-half years, the Revanth Reddy-led Telangana government awarded it contracts worth around INR 2,500 crore in the last year.
‘The shocking thing is, while this company has been facing a bankruptcy case for the last two and a half years, the same company has been given INR 2,500 crore contracts in Telangana state just in the last year,’ he said.
Krishank further alleged that the ED had identified KLSR Infratech as a benami company of Chief Minister Revanth Reddy and claimed that the firm had gifted a Toyota Land Cruiser to him during his tenure as Telangana Congress president.
‘These include the Kodangal college project in the Chief Minister’s own constituency, drinking water works, irrigation projects, Young India Schools and major road projects,’ he alleged.
The Supreme Court has ordered investigations by the Central Bureau of Investigation, Enforcement Directorate and Serious Fraud Investigation Office into the matter. Following this, BRS working president KT Rama Rao demanded cancellation of the contracts and a probe into the Chief Minister’s alleged links with KLSR Infratech.
Krishank said KTR alleged that the company was a benami firm of the Chief Minister, citing suspicious financial transactions and alleged attempts to influence judicial proceedings.
‘As the Supreme Court has ordered the CBI, ED and SFIO to investigate this matter, KTR has demanded that these contracts should immediately be rejected and that the relationship between the Chief Minister and KLSR Infratech should be investigated,’ he said.
‘These works must be stopped and cancelled at once. Central agencies must investigate the benami angle between Chief Minister Revanth and KLSR Infratech as per the Supreme Court’s instructions,’ he added.
The remarks come amid sustained attacks by the BRS on the Congress government over alleged financial irregularities involving KLSR Infratech. Earlier in the day, KTR accused the Chief Minister of misusing public money and diverting thousands of crores to what he described as his benami company.
KTR also alleged that despite insolvency proceedings before the National Company Law Tribunal, KLSR continued to receive large government contracts under the present administration. He further cited Income Tax searches involving relatives of Revanth Reddy and alleged financial links between firms such as Sai Mourya Estates and KLSR.
The BRS leadership has demanded cancellation of all contracts awarded to KLSR Infratech, blacklisting of the company from future tenders, and a CBI-led probe along with investigations by the ED and SFIO. The party has also sought suspension of ongoing works until the inquiry is completed.
(ANI)