KTR suspects conspiracy behind L&T exit from Hyderabad Metro Rail, warns of massive debt burden
BRS working president KT Rama Rao has accused Chief Minister Revanth Reddy of orchestrating L&T’s exit from the Hyderabad Metro Rail project to capture 280 acres of prime land. He alleged collusion between Congress leaders and infra decisions, warned of a Rs. 15,000 crore debt burden, and demanded a central probe.
Published Date - 26 September 2025, 08:21 PM
Hyderabad: BRS working president KT Rama Rao suspected a larger conspiracy behind infra major L&T’s exit from the Hyderabad Metro Rail project and said Chief Minister A Revanth Reddy was engineering it to capture 280 acres of prime real estate.
He raised concerns that the Congress government intended to divert the land originally given to L&T under the project for the benefit of the family and close associates of the Chief Minister and other Congress leaders.
“Everything Revanth Reddy does has a scheme behind it where there is always a scam,” he said, warning that the move would saddle Telangana with an additional Rs.15,000 crore debt burden at a time when the government is struggling to pay salaries, pensions and retirement benefits.
The former Municipal Administration Minister recalled that under the original deal, L&T was compensated with land to develop 18 crore sft of real estate and generate half of its projected annual revenue, while the rest had to be raised through fares and advertising.
“These lands today are worth thousands of crores. The Chief Minister’s hunger to capture them has driven L&T out,” he charged.
The BRS leader stated that Revanth Reddy became vindictive after L&T offered to repair Medigadda barrage at its own expense, even as the government was spreading false propaganda that it was unusable.
He said the Chief Minister was also angry after the company sought compensation for losses caused by the government’s free bus travel scheme for women.
He suspected collusion between the Chief Minister and Revenue Minister Ponguleti Srinivas Reddy to prevent L&T from future projects and make way for those associated with them, citing its disqualification in the Kodangal Lift Irrigation tenders.
“This will have disastrous consequences for private investment in Telangana. Who will risk money in a State where the government hounds companies for political gain?” he asked.
Rama Rao also raised suspicions over the abrupt and single-handed decision by the Chief Minister, bypassing established procedures like consulting the Cabinet or forming a Cabinet sub-committee.
Pointing out that the Hyderabad Metro Rail project is governed under the Metro Rail Act of the union government, he questioned whether the Centre was consulted before taking the decision. He demanded that the Centre probe the entire issue and seek an explanation from the State.
He pointed out that the previous BRS government extended a Rs. 900 crore interest-free loan to L&T during the COVID-19 pandemic, while the Congress is now shifting the company’s Rs. 15,000 crore liability onto the public. He demanded to know how the government planned to address losses worth around Rs. 600 crore incurred from the Metro Rail project every year.
Framing the Metro takeover as a reckless gamble, he warned that Revanth Reddy’s obsession with land and commissions is crippling Telangana’s financial stability.
“This is not governance, but it is loot in broad daylight,” he remarked.
Reacting to media queries on the speculations over his arrest in the ACB case on the Formula-E race, Rama Rao reiterated his readiness for a lie detector test before the media and dared Revanth Reddy to undergo the same. He also hit out at the selective use of HYDRAA, accusing the government of using it to harass the poor, while shielding the powerful.
Responding to allegations of a luxury car scam, the BRS working president dismissed them as political mudslinging by “RS Brothers”, referring to Revanth Reddy and union Minister Bandi Sanjay. “While BRS raises people’s issues, Congress and BJP trade in slander. If they believe their charges, let them investigate and act as they are ones in power,” he said.