Harish Rao Accuses Congress Government of Paying ₹170 Crore Brokerage for Loans

On Saturday, Bharat Rashtra Samithi (BRS) leader and former minister T Harish Rao accused the Congress-led Telangana government of paying ₹170 crore in brokerage charges to raise a ₹10,000 crore loan by mortgaging government lands. Speaking at a press conference at Telangana Bhavan in Hyderabad, Rao alleged that the administration has introduced an unprecedented practice of paying massive commissions to intermediaries to secure loans.

According to Rao, state assembly replies revealed that the government paid ₹170 crore as brokerage to raise ₹10,000 crore by mortgaging Telangana State Industrial Infrastructure Corporation (TGIIC) lands. He added that the government further plans to raise another ₹20,000 crore by mortgaging Hyderabad Metropolitan Development Authority (HMDA) lands.

Rao warned that if the government pays ₹170 crore for every ₹10,000 crore borrowed, the total brokerage for the planned ₹30,000 crore borrowing would exceed ₹510 crore. He stated that if similar borrowings worth ₹70,000 crore are pursued through corporations and utilities, total brokerage payments could cross ₹1,700 crore.

The BRS leader also challenged the Congress government's claims regarding the debt accumulated during the previous BRS tenure. Presenting official documents, Rao disputed allegations that the BRS government had borrowed over ₹8.21 lakh crore. He explained that this figure incorrectly included ₹84,268 crore in loans that existed before Telangana's formation in 2014, as well as ₹15,118 crore borrowed by the Congress government itself between December 7, 2023, and March 31, 2024.

Rao stated that subtracting these pre-existing and post-December 2023 loans establishes that the BRS government's actual borrowings stood at ₹4.17 lakh crore. He noted that this figure is validated by Comptroller and Auditor General (CAG) reports, Reserve Bank of India (RBI) publications, and the state's own budget documents.

Accusing the current administration of presenting inconsistent debt figures across white papers, assembly statements, and press conferences, Rao stated that the BRS party is ready to debate the borrowings of both governments.