Harish Rao alleges Rs 18,000 crore scam in HAM road tenders, demands judicial probe

BRSLP deputy leader T Harish Rao accused the Congress government of a Rs 18,000 crore scam in Hybrid Annuity Model road projects, alleging excess mobilisation advances and manipulated tenders, and demanded cancellation, probe, and vigilance oversight in Telangana

Hyderabad: BRSLP deputy leader T Harish Rao on Tuesday said the Congress government was releasing excess mobilisation advances and raising curtains for a Rs.18,000 crore scam in the execution of Hybrid Annuity Model (HAM) road projects in Telangana. He demanded immediate cancellation of the tenders and a probe by a sitting High Court judge.

He said the BRS would approach the Central Vigilance Commission, the Reserve Bank of India and other agencies apart from raising the issue during ongoing budget discussions in the Assembly. He warned that upon returning to power, the BRS would initiate stringent action against officials who were responsible for the scam.

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In an informal interaction with mediapersons at the Assembly on Tuesday, Harish Rao, along with former Minister Vemula Prashanth Reddy, said works involved nearly Rs 12,000 crore under the Roads and Buildings department and another Rs 6,000 crore under the Panchayat Raj department. He said the government introduced a 10 per cent mobilisation advance, allowing about Rs 1,800 crore to be released upfront, which he said could be diverted for political purposes of the Congress leaders.

Harish Rao said tenders that usually get finalised at rates below estimates were now being awarded at 15-20 per cent above the projected cost. The tender process was manipulated by bypassing the Committee of Tenders and removing the earlier five per cent cap on premium bids. In many projects, only two bidders participated, indicating a contractor syndicate, he said, naming a few companies that allegedly secured multiple works.

He declared that the BRS would expose irregularities in the tendering process during the discussion on Roads and Buildings in the ongoing Assembly session. He pointed out that only after the BRS questioned the irregularities in Singareni tenders were subsequent tenders awarded at a lower bid.