Hyderabad: The division bench of the Telangana High Court refused to give any relief to YSRC MP Kanumuru Raghu Rama Krishnam Raju, and two others, on the show cause notices issued to them asking why they should not be declared as willful defaulters for misappropriation of funds of Ind Barath Power, after obtaining financial assistance of Rs 2,655 crore for development of a thermal project. Rama Raju was the director of the company before he was suspended by the board.
In 2019, the Rural Electrification Corporation (REC) issued show cause notices to them in tune with the RBI's master circular on declaring willful defaulters. Challenging the same, Raju approached the High Court. The single judge court dismissed his plea and directed the petitioners to approach the review committee, which confirmed the decision taken by the first level committee. Challenging the single judge’s decision, Rama Raju filed an appeal.
The division bench, headed by Chief Justice Alok Aradhe, heard the appeal and was not inclined to interfere in the single judge’s orders. It also suggested him to approach the review level committee.
