Date: August 08, 2024
Allegations of MoU with Shell Company Refuted by Telangana
The Bharat Rashtra Samithi (BRS) has recently alleged that the Telangana government signed an MoU with a shell company during a visit to the United States. Chief Minister Revanth Reddy led the delegation, which the state government has firmly denied.
BRS Claims
Firstly, BRS leaders argue that Swachh Bio, the company involved, was established only 15 days prior to the agreement. They accuse the government of dealing with an unreliable entity. K.T. Rama Rao, a prominent BRS leader, criticized the ruling party for deceptive tactics, drawing comparisons to previous controversies.
Moreover, BRS leader Manne Krishank claimed that Harsha Pasunuri, seen in photos with Chief Minister Reddy, is allegedly linked to Reddy’s brother. He argued that the Rs 1,000 crore investment might be fraudulent, further fueling skepticism.
Government’s Defense
In response, Jayesh Ranjan, Special Chief Secretary for IT and Industries, addressed the allegations directly. In a video statement, he assured the public that the delegation followed rigorous procedures. He emphasized that their professionalism and reputation remained intact. Ranjan stressed that thorough due diligence was conducted before finalizing the agreement.
Consequently, the Telangana government maintains that the MoU was legitimate and thoroughly vetted. They emphasize that no professional or reputational risks were taken in the process.
Details of the MoU
As a result of the MoU Shell Company, Swachh Bio, a company specializing in lignocellulosic biofuels, plans to establish a 250 KLPD biofuels plant in Telangana. This project, which involves an investment of over Rs 1,000 crore, is expected to create around 500 jobs. The Chief Minister’s Office noted that Praveen Paripati, Chairperson of Swachh Bio, met with Chief Minister Revanth Reddy and Minister for Industries D. Sridhar Babu to finalize the deal.
Political Impact
Given the controversy, political reactions have intensified. BRS leaders have posted old photos linking the MoU signatories to Chief Minister Reddy’s brother. They argue that the investment is dubious. Despite these claims, the Telangana government stands by the agreement, asserting that it was made after comprehensive review and consideration.