Hyderabad: Irrigation Minister Capt. N. Uttam Kumar Reddy on Monday held former Chief Minister K. Chandrashekhar Rao personally responsible for the collapse of the Kaleshwaram Lift Irrigation Project. He said KCR’s actions triggered structural failure and pushed the state into enormous debt.
Speaking after a Cabinet meeting chaired by CM Revanth Reddy, Uttam released a 660-page judicial report by Justice Pinaki Chandra Ghose. He said KCR bypassed norms, ignored experts, and misled central agencies throughout the project’s development.
The report said KCR’s decision to move the project from Tummidihatti to Medigadda lacked hydrological justification. An internal committee advised building the barrage at Vemanapally. However, KCR suppressed the report to push ahead with his plan.
“This wasn’t a mistake. It was deliberate,” Uttam said. “It allowed KCR and then Irrigation Minister T. Harish Rao to override institutional checks.”
Uttam said G.O. Nos. 231–233, which approved key barrages in 2016, never reached the Cabinet. He said oral instructions replaced formal decisions. Contracts were awarded without tenders. The government even issued fake completion certificates in 2019 and 2021.
Engineers built the barrage on loose, water-permeable soil. They tested only 7,498 concrete samples, though guidelines required 37,000. “This wasn’t negligence. It was systemic malpractice,” Uttam said.
He said Kaleshwaram Infra borrowed ₹87,449 crore off the books. By September 2024, the state repaid ₹29,737 crore. The remaining ₹41,638 crore in interest is still due.
Uttam pointed to ₹1,954 crore in unjustified contractor payouts. That included ₹1,342 crore from inflated prices and ₹612 crore from unauthorized benefits. “This money didn’t just vanish. It was handed out,” he said.
– K. Chandrashekhar Rao: issued all critical decisions
– T. Harish Rao: ignored expert advice
– Etela Rajender: failed to question finance approvals
– Senior bureaucrats and engineers: enabled the process
– Contractors L&T, Afcons, Navayuga: must now fund full repairs
Quoting the Commission, Uttam said: “Kaleshwaram became a colossal waste of public money due to a profound failure of governance, planning, and oversight.”
He confirmed the Cabinet reviewed a 25-page summary. The government will place the full report before the Assembly and invite views from all parties before taking action.