TRS chief K. Chandrasekhara Rao
Credit: PTI Photo
Hyderabad: The Justice PC Ghose judicial commission has explicitly held former Chief Minister and BRS supremo K Chandrashekar Rao directly and indirectly responsible for irregularities--from planning to construction, operation, and maintenance of the barrages--in the construction of the Kaleshwaram project. Along with KCR, the commission also held former Irrigation Minister T Harish Rao accountable.
The Ghose Commission, appointed by the Congress government to investigate alleged irregularities in the construction of barrages under the previous BRS government's Kaleshwaram project, submitted its report last Thursday. The report was tabled before the state cabinet on Monday and accepted.
Chief Minister A Revanth Reddy announced that a presentation on the PC Ghose commission's findings will be given to Assembly members soon, with future action to be decided based on widespread feedback from legislators.
The judicial commission studied the Kaleshwaram project's three barrages at Medigadda, Sundilla, and Annaram. The partial collapse of the Medigadda barrage just before the 2023 assembly polls prompted the Congress government to order this probe after coming to power.
The commission also referenced an expert committee report that had recommended against the Kaleshwaram project.
The judicial commission held KCR "directly and also vicariously accountable for the irregularities and illegalities in planning, construction, completion, operation and maintenance of the three barrages."
The report stated that his "involvement and directions minutely...is the cause and result of irregularities and the cause of distress to these three barrages."
The commission found "rank irregularity from the stage of conceptualization of Kaleshwaram project till the issuance of administrative approvals on March 1, 2016, for construction of the three barrages."
Significantly, the report noted, "This is not the decision of the government but of individuals. The then Chief Minister was pre-determined and bent upon constructing a barrage at Medigadda at his free choice, and the authorities associated with decision-making facilitated this."
The commission concluded that the entire project was characterised by "rampant and brazen procedural and financial irregularities." The report emphasized that the Kaleshwaram project, intended as a "lifeline of the State of Telangana," became a colossal waste of public money due to profound failures in governance, planning, technical oversight, and financial discipline—all driven by individual political decisions and undue influence.
The commission documented how the Kaleshwaram project's costs spiraled. Initially conceived at Rs 38,500 crore, escalated to Rs 71,436 crore and later revised administrative approvals totaled over Rs 1,10,248.48 crore by March 2022.
The Kaleshwaram Irrigation Project Corporation Limited (KIPCL) raised loans of Rs 87,449 crore as of March 2022 with state government guarantees. The report highlighted that the burden of repayment of the loan and interest is likely to fall on the state budget. As of September 2024, Rs 29,737 crore has been paid toward principal and interest with balance principal remaining at Rs 64,212 crore, besides approximate additional interest payable of Rs 41,638 crore.
The commission also said that Etela Rajender, the then Finance Minister, provided false information to the Cabinet, claiming that the Cabinet Sub-Committee had recommended barrage construction and that the Cabinet had approved it. The commission also stated that some officials provided false evidence and recommended action against them.
The one-man commission was constituted in March 2024 with an initial two-month term but received seven extensions before concluding its work last Thursday when the final deadline expired. During extensive proceedings, the commission examined 115 witnesses, including former Chief Minister K. Chandrashekar Rao, who was questioned on camera at his request.