Harish Rao exposes Rs 500-crore irregularities in Singareni tenders, seeks Central probe

Former Minister and BRS leader T Harish Rao has accused the Congress government of large-scale irregularities in Singareni Collieries tenders worth over Rs 500 crore. In a letter to Union Coal Minister G Kishan Reddy, he demanded cancellation of contracts and a court-monitored probe.

Hyderabad: Former Minister and senior BRS leader T Harish Rao mounted fresh allegations of large-scale irregularities in Singareni Collieries Company Limited (SCCL) projects, involving over Rs 500 crore. He wrote to Union Coal Minister G Kishan Reddy seeking cancellation of the tenders and a comprehensive probe into the irregularities.

In his letter to the Union Minister, Harish Rao urged Kishan Reddy to order an independent inquiry and cancel all tenders issued with restrictive and manipulated clauses. He said only a court-monitored or central probe would bring out the truth behind what he termed a multi-crore scam.

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Even as the Special Investigation Team (SIT) continued questioning BRS working president KT Rama Rao on Friday, Harish Rao revealed how the Congress leaders in the government turned Singareni tenders into a financial pipeline benefiting Chief Minister A Revanth Reddy’s brother-in-law, Srujan Reddy. He said detailed evidence has been submitted in his letter to the Union Minister and demanded a judicial or central agency investigation.

In his key allegation related to a 107-MW solar power project at Ramagundam, Harish Rao said separate installations were bundled into a single tender, allegedly restricting competition and sidelining MSMEs. Conditions such as mandatory site visit certificates were inserted to favour a particular firm. While national benchmarks peg solar project costs at around Rs 3.5 crore per MW, he said Singareni agreed to pay Rs 5.04 crore per MW, leading to an excess burden of about Rs 200 crore.

He also flagged another 67-MW solar project, which was allegedly awarded at nearly Rs 7 crore per MW which was almost double prevailing rates at the national level, resulting in another Rs 250 crore in excess commitments. He stated that both projects were structured to benefit select companies.

The BRSLP deputy leader raised concerns over procurement of gelatin sticks used in mining blasts, where SCCL officials were pressured to clear purchases at 30 per cent higher prices. He said while one senior official was forced to resign, another was demoted for resisting approvals.

He also sought cancellation of the Rs 1,044-crore Prakasam mine tender, again involving the site visit certification clause as a restrictive condition. Similarly, he pointed to a Rs 600-crore overburden (OB) removal tender at Srirampur OC-2, where financial bids were postponed seven times under external influence. He demanded a probe into the repeated delays.

According to Harish Rao, six OB contracts issued after the Congress government assumed office also carried similar tender conditions and should be scrapped. He said further details about alleged irregularities in a Singareni thermal power project at Jaipur will be revealed soon.