Bharat Rashtra Samithi leader and former Telangana minister KT Rama Rao by the Enforcement Directorate on January 7 in a money laundering case concerning alleged irregularities in conducting a Formula E motorsport race in Hyderabad in February 2023, The Indian Express reported on Saturday.

The central agency has also asked Aravind Kumar, the former principal secretary of the state’s urban development department, to appear before it on January 2.

BLN Reddy, who was the chief engineer of the Hyderabad Metropolitan Development Authority at the time, has been directed to appear before the agency on January 3.

The Enforcement Directorate is investigating possible violations of the Prevention of Money Laundering Act on the basis of a first information report filed by the Telangana Police’s Anti-Corruption Bureau in connection with the sporting event.

The agency is also investigating possible violations of the Foreign Exchange Management Act violations.

The FIR alleges was paid to Formula E Operations Limited and others in “gross violation of established procedures” while Rao was the Municipal Administration and Urban Development minister.

Rao, the son of former Chief Minister K Chandrashekar Rao, in the payments made for the events.

According to the FIR, the Municipal Administration and Urban Development department signed an agreement with Formula E Operations Limited, based in...