KTR alleges Musi project scam, stages Assembly walkout

Hyderabad: BRS Working President K.T. Rama Rao alleged a Musi project scam in the Telangana Assembly and led a walkout, accusing the government of lacking transparency.

He claimed the Musi Riverfront project could involve financial irregularities of up to ₹1.5 lakh crore. However, he clarified that the opposition supported river rejuvenation but opposed misuse of public funds.

He demanded that the government release the Detailed Project Report immediately. At the same time, he questioned how authorities began demolitions and land acquisition without making the DPR public.

Musi project scam row centres on DPR and cost claims

During Question Hour, KTR pressed the government for clarity on project details. Moreover, he raised concerns about the scale of demolitions and land acquisition.

In response, Deputy Chief Minister Bhatti Vikramarka and Minister Sridhar Babu rejected the allegations. They said the project involved no secrecy and termed the claims baseless.

Sridhar Babu stated that officials had completed the DPR for the first phase. He added that the estimated cost ranged between ₹6,500 crore and ₹7,000 crore.

According to the minister, the project will affect 1,435 structures. He also said officials were finalising the figures and would follow the 2013 land acquisition law.

Further, he said eligible families in buffer zones would receive Transferable Development Rights. In addition, he assured that authorities would carry out rehabilitation as per legal provisions.

KTR, however, dismissed the explanation and pointed to contradictions in official statements. While the Chief Minister cited ₹1.5 lakh crore in public, ministers quoted lower figures in the House.

Therefore, he said the government must clarify the discrepancy. He also cited records that mentioned plans to demolish 10,000 houses and acquire 3,260 acres.

Moreover, KTR questioned how a firm allegedly barred in other countries handled the DPR. He also raised concerns about the timeline for preparing the report.

He asked how a DPR that usually takes 18 months was completed in two months. According to him, the government lacked both funds and a clear execution plan.

He added that no loan had been sanctioned by the Asian Development Bank. As a result, he questioned the feasibility of the project.

Unconvinced by the response, KTR and BRS legislators walked out of the House, reiterating allegations of a Musi project scam.