The Anti-Corruption Bureau (ACB) of Telangana grilled Bharat Rashtra Samithi (BRS) Working President and former minister K.T. Rama Rao (KTR) for nearly eight hours on Monday, June 16, 2025, regarding alleged irregularities in the Formula E race deal. This marks his second appearance before the investigating agency in connection with the case. An FIR was registered against Mr. Rama Rao on December 19, 2024, concerning suspected irregularities in the planning and execution of the Formula-E event held in February 2023.

The investigation revolves around alleged financial irregularities in the Formula E race, specifically a payment of ₹54 crore, which included ₹8 crore in taxes, purportedly made to the event organizers without proper Cabinet approval. The ACB is also probing alleged payments, most of them in foreign currency, without approvals, for conducting the Formula E race in Hyderabad in February 2023 during the previous BRS government. The ACB had registered a case against KTR, former Special Chief Secretary to the government.

Tension was high as reports of a possible arrest circulated, leading to a large gathering of BRS party workers at both the BRS party office in Banjara Hills and the ACB office. Police responded by deploying heavy security at both locations and temporarily locking the BRS party office, which drew strong objections from party workers and leaders. Security around Road No. 12, Banjara Hills, was heightened from early morning and the road leading to ACB office was barricaded. Shops in the vicinity were ordered shut for about 30 minutes by police. Roads leading to the ACB office were barricaded, with the public and media initially pushed back 300 metres.

Before heading to the ACB office, KTR alleged that Chief Minister A Revanth Reddy was contemplating his arrest in the Formula E case,accusing the Congress government of trying to divert public attention from its "failure" to fulfill the election promises. He declared his readiness to go to jail even a hundred times for decisions made to enhance Hyderabad's brand image,asserting that he had worked to elevate Telangana's prestige and committed no wrongdoing.

Speaking to media at Telangana Bhavan after the ACB questioning, KTR criticized Revanth Reddy for allegedly avoiding an Assembly discussion on the Formula E race, challenging him to a lie detector test and suggesting debating the matter before four crore people instead of within four walls.

KTR explained that after the first year's Formula E race proved successful, the BRS government made a policy decision to ensure the second year's event was also held in Hyderabad and that money was transferred to the organizing agency's bank account as part of this strategy. He questioned ACB officials about the existence of corruption in the matter.

The BRS leader maintained that the race and the payments were part of the efforts of the BRS government to promote Hyderabad's brand image. He said that the funds remain in the organisers' bank account, but the government has been unable to recover it.

Following the eight-hour grilling, the ACB informed KTR that he may be summoned for a fourth round of questioning if required.