ED raids TRS Nama Nageswara Rao’s residence in Rs 1,064 cr fraud case

14 Jun 2021 CW Team

Sources informed the media that searches were conducted at six locations in Hyderabad including the Madhucon Infra office in Jubilee Hills, CMD of Ranchi Expressway K Srinivasa Rao, residences of Nageswara Rao, and directors N Seethaiah and N Prithvi Teja, son of Nageswara Rao.

The ED is investigating the case for money laundering under the Prevention of Money Laundering Act. The MP is a personal guarantor for the loans obtained from several banks.

In March 2019, the Central Bureau of Investigation (CBI) had filed a case against Ranchi Expressway and its directors, Madhucon Group of Companies, and officials of Consortium of Banks led by Canara Bank for alleged irregularities in the Ranchi-Jamshedpur (NH-33) project.

Madhucon was given a contract to execute a road project about four-laning of a 163 km stretch on NH-33 connecting Ranchi with Jamshedpur. The project was awarded to Madhucon Projects by the National Highways Authority of India (NHAI) in March 2011.

Madhucon later floated a special purpose vehicle, Ranchi Expressway Ltd, for executing the project on design-build finance-operate and transfer model.

The banks, led by Canara Bank, agreed to fund Rs 1,151 crore to Madhucon Group with Rs 503 crore from promoters to complete the project.

The Serious Fraud Investigation Office (SFIO) report has claimed that the promoters round-tripped Rs 50 crore, alleged Rs 98 crore towards maintenance, used Rs 94 crore of mobilisation advance, and diverted Rs 22 crore and thus, misappropriated Rs 264 crore.

The CBI claimed that there was no progress in the project work and the loan turned into a non-performing asset (NPA) in 2018. NHAI terminated its agreement with Madhucon Projects and forfeited Rs 73 crore.

Image Source

Also read: ED investigates Rs 2,000 cr loan from Piramal Group to Omkar

Also read: Maharashtra police lodges FIR against Indiabulls Group

The Enforcement Directorate (ED) raided the residences and offices of TRS MP Nama Nageswara Rao, his Madhucon Group of companies, and the directors of Ranchi Expressway in connection with a Rs 1,064 crore bank fraud case. Sources informed the media that searches were conducted at six locations in Hyderabad including the Madhucon Infra office in Jubilee Hills, CMD of Ranchi Expressway K Srinivasa Rao, residences of Nageswara Rao, and directors N Seethaiah and N Prithvi Teja, son of Nageswara Rao. The ED is investigating the case for money laundering under the Prevention of Money Laundering Act. The MP is a personal guarantor for the loans obtained from several banks. In March 2019, the Central Bureau of Investigation (CBI) had filed a case against Ranchi Expressway and its directors, Madhucon Group of Companies, and officials of Consortium of Banks led by Canara Bank for alleged irregularities in the Ranchi-Jamshedpur (NH-33) project. Madhucon was given a contract to execute a road project about four-laning of a 163 km stretch on NH-33 connecting Ranchi with Jamshedpur. The project was awarded to Madhucon Projects by the National Highways Authority of India (NHAI) in March 2011. Madhucon later floated a special purpose vehicle, Ranchi Expressway Ltd, for executing the project on design-build finance-operate and transfer model. The banks, led by Canara Bank, agreed to fund Rs 1,151 crore to Madhucon Group with Rs 503 crore from promoters to complete the project. The Serious Fraud Investigation Office (SFIO) report has claimed that the promoters round-tripped Rs 50 crore, alleged Rs 98 crore towards maintenance, used Rs 94 crore of mobilisation advance, and diverted Rs 22 crore and thus, misappropriated Rs 264 crore. The CBI claimed that there was no progress in the project work and the loan turned into a non-performing asset (NPA) in 2018. NHAI terminated its agreement with Madhucon Projects and forfeited Rs 73 crore. Image Source Also read: ED investigates Rs 2,000 cr loan from Piramal Group to Omkar Also read: Maharashtra police lodges FIR against Indiabulls Group

Infrastructure Urban

17 Sep 2025

DCPC Prepares for Special Campaign 5.0 with Focus on E-Waste

The Department of Chemicals and Petrochemicals (DCPC), Ministry of Chemicals and Fertilisers, is gearing up for Special Campaign 5.0, to be held from 2nd to 31st October 2025. The initiative will focus on e-waste disposal as per MoEFCC’s E-Waste Management Rules 2022, space optimisation, and enhancing workplace efficiency across field offices.Special Campaign 4.0, conducted between October 2023 and October 2024, delivered notable results in record management, grievance redressal, scrap disposal, and cleanliness drives.Key outcomes of Special Campaign 4.0Records management: 2,443 physical fil..

Real Estate

17 Sep 2025

BlackRock India Leases 1.4 Lakh Sq Ft in Bengaluru

BlackRock Services India, the domestic arm of global asset manager BlackRock, has leased 1.4 lakh sq ft of office space at IndiQube Symphony in Bengaluru, according to Propstack data. The 10-year deal is valued at around Rs 4.10 billion.The lease, among the largest transactions in India’s co-working sector, highlights the growing preference of global institutions for flexible office providers. The agreement, commencing October 1, 2025, covers ground plus five floors in KNG Tower 1 at Ashoknagar, MG Road — one of Bengaluru’s prime commercial hubs.As per the lease document, BlackRock will ..

Infrastructure Transport

17 Sep 2025

L&T Bags Rs 25–50 Bn Order for Mumbai-Ahmedabad Bullet Train Track Works

Larsen & Toubro’s (L&T) Transportation Infrastructure business has secured an order valued between Rs 25 crore and Rs 50 billion from the National High Speed Rail Corporation Limited (NHSRCL) for the Mumbai-Ahmedabad High Speed Rail (MAHSR) corridor.The contract, Package T1, involves the design, supply, construction, testing, and commissioning of 156 route km of high-speed ballastless track on a Design-Build Lump Sum Price basis. The stretch runs from Mumbai’s Bandra-Kurla Complex to Zaroli village in Gujarat and includes 21 km of underground track and 135 km of elevated viaduct.Se..