Hyderabad: BRS working president, KT Rama Rao, alleged that the Congress government indulged in irregularities in awarding contracts for the Rs 4,350 crore Kodangal-Narayanpet Lift Irrigation Scheme (LIS) and the Rs 5,560 crore project to lift water from Mallanna Sagar to the Musi River for the Musi River rejuvenation.
Talking to reporters on Wednesday, KTR said that the Revanth Reddy government had awarded the contract for the Kodangal Narayanpet lift irrigation scheme project to Megha Engineering and Infrastructure Ltd. (MEIL) and Raghava Constructions, linked to Minister Ponguleti Srinivas Reddy.
“Revanth Reddy once compared MEIL to the East India Company, implying that it wielded undue influence over the state's resources and projects, and suggested that the BRS regime awarded contracts to MEIL based on political considerations rather than merit. Jagga Reddy, another Congress leader, also accused Megha Krishna Reddy, the head of MEIL, of being part of a "political mafia," further fueling allegations of corruption and favoritism. The then opposition leaders have raised concerns about irregularities in awarding contracts to MEIL, including for projects like the Rayalaseema Lift Irrigation Scheme and Sunkishala Project,” said KTR.
However, KTR said the Revanth Reddy government continued to award major contracts to MEIL.
“For instance, MEIL received a tender worth Rs 4,350 crore for the Kodangal Lift Irrigation Project, despite previous committee reports recommending the company's blacklisting. Revanth Reddy also alleged that there were financial kickbacks involved in these deals and accused KCR's government of inflating project costs for personal gain. However, the Revanth Reddy government is now favoring MEIL,” he added.
In particular, there was an incident at the Sunkishala project where a retaining wall collapsed, allegedly due to negligence by MEIL. He added that despite calls for action against the company, including demands for blacklisting it and conducting a judicial inquiry into the incident, MEIL received no significant punitive measures. Instead, only a few officials were suspended following the incident, KTR said.