Revanth Reddy becomes silent as KTR alleges Rs 10,000 Crore scam

Chief Minister A. Revanth Reddy finds himself embroiled in a major political controversy following explosive allegations by Bharat Rashtra Samithi (BRS) Working President K.T. Rama Rao (KTR).

On April 11, KTR accused the state government of orchestrating a Rs 10,000 crore financial scam involving 400 acres of forest land near Hyderabad Central University (HCU), alleging that the land was illegally mortgaged to ICICI Bank. The accusations have put the Congress government on the defensive, with Revanth Reddy struggling to counter the mounting criticism.

KTR, addressing a press conference at Telangana Bhavan, claimed that the Telangana State Industrial Infrastructure Corporation (TSIIC) mortgaged the Kancha Gachibowli land—classified as forest land under a 1996 Supreme Court ruling—without legal ownership. He alleged that a Government Order (GO) issued in June 2024 valued the land at Rs 75 crore per acre, totaling Rs 30,000 crore, but no sale deed or mutation was executed to establish TSIIC’s ownership.

Despite this, KTR claimed, the land was used as collateral to secure a Rs 10,000 crore loan from ICICI Bank, facilitated by a merchant banker, Trust Investment Advisors Pvt. Ltd., in violation of multiple laws, including the Forest Conservation Act and Fiscal Responsibility and Budget Management (FRBM) norms.

“This is a criminal conspiracy masterminded by Chief Minister Revanth Reddy,” KTR charged, terming the deal a “betrayal of Telangana’s trust.”

Did ICICI bank release letter or fake?

The allegations have sparked outrage. A press note saying that it was released by ICICI Bank came out, in which the bank denied any involvement in the alleged scam.

“We have not provided any mortgage loan to TSIIC, and TSIIC has not mortgaged any land with us in relation to this bond issuance,” the bank stated. But there are doubts whether the bank really issued the statement or not.

Revanth is struggling to counter allegations

Revanth Reddy and his administration have yet to issue a detailed response to the allegations, leading to speculation about the government’s ability to navigate the crisis. Political analysts note that KTR’s accusations tap into broader public discontent over recent environmental concerns, particularly the deforestation drive near HCU, which has already drawn criticism from students, activists, and the Supreme Court. The apex court recently ordered a stay on activities in the area, citing “alarming deforestation,” further complicating the government’s position.

The Congress government’s silence has fueled perceptions of vulnerability, with opposition parties seizing the opportunity to intensify their attacks. BRS leaders have accused Reddy of using the loan to fund welfare schemes like Rythu Bharosa only partially, alleging that the remaining funds were diverted to pay contractors and commissions. As the controversy unfolds, Revanth Reddy faces a tough challenge in restoring public confidence.