KTR accuses Congress of running ‘real estate mafia’, seeks compensation for Velugumatla oustees equal to loss
BRS working president KT Rama Rao accused the Congress government of acting as a “real estate mafia” in Telangana, alleging large-scale demolitions of homes in Velugumatla and other areas. He demanded compensation, proper rehabilitation, and promised probe into officials and political beneficiaries
Published Date - 11 March 2026, 06:43 PM
Hyderabad: BRS working president KT Rama Rao on Wednesday said the Congress government was functioning like a real estate mafia in Telangana by carrying out large-scale demolition of houses belonging to the poor and middle-class families across the State in the name of development. He demanded that the government apologise to the affected families in Velugumatla and provide compensation equivalent to the loss of their homes and land.
Addressing the media at Telangana Bhavan here on Wednesday, Rama Rao said demolitions were carried out in Hyderabad under HYDRAA and Musi riverfront development, in Lagacherla under Pharma Village project, in Mahabubnagar town, Ramagundam and recently in Velugumatla of Khammam district. Hundreds of families were rendered homeless while land was being cleared to benefit private interests, he said.
Referring to the demolitions in Velugumatla, he said nearly 1,000 families were displaced and linked the exercise to the alleged real estate interests of persons close to the three Ministers from Khammam district. He named Vejella Suresh, Mulla Kishore and Damodar Rao as benamis of the Ministers, stating that they were operating a land mafia under political protection.
The BRS working president questioned why the government demolished houses first and spoke of rehabilitation later, if the demolitions were genuine. The land in Velugumatla was originally Bhoodan land and pattas were issued to beneficiaries years ago, with many families living there for over a decade.
“Hundreds of police personnel were deployed to evict the residents including children, who were not even allowed to pick up their belongings,” he said.
The former Minister sought to know why the government was trying to shift victims to other areas instead of regularising the houses in the Bhoodan lands owned by them, unless it was to benefit influential people and the real estate mafia in Khammam. He questioned why the government was compensating for only 311 families, while over 1,000 houses were demolished.
Demanding that houses be rebuilt for all affected families in the same locality instead of shifting them elsewhere, he said BRS leaders, including Rajya Sabha MP Vaddiraju Ravichandra, former Minister Puvvada Ajay Kumar and MLC Thatha Madhu, who were arranging food for the displaced families at temporary shelters, were not only prevented by the police, but cases were also registered against them. The government was trying to silence those highlighting the issue, he said.
Rama Rao said the BRS would continue to raise the matter inside and outside the Assembly, until justice was served. “Upon returning to power, we will order a probe into these demolitions and land allotments, ensuring that everyone responsible including the officials who are acting in collusion with them will be punished,” he assured.
He also alleged that illegal mining and land deals linked to ruling party supporters were taking place in areas such as Manasa Hills and Neopolis without action from authorities.
Responding to recent remarks by TDP MP Lavu Srikrishna Devarayalu in the Lok Sabha terming passage of Andhra Pradesh Reorganisation Act in the Parliament as Black Day, Rama Rao said Telangana had been a separate State for over a decade and Andhra Pradesh leaders should focus on development rather than making remarks against it.