Rajya Sabha member KVP Ramachandra Rao named in titanium scam
April 4, 2014 - Hyderabad
United States justice department on Wednesday said that Rajya Sabha member and very close aid of former Chief Minister of Andhra Pradesh Dr. KVP Ramachandra Rao along with others were named for bribing Indian officials for a titanium mining contract.
According to sources, the defendants allegedly conspired to pay a bribe of $18.5 million to secure licences for the mining project that would generate $500 million annually from the sale of the titanium products. It is alleged that the accused P Sunderalingam met Ramachandra Rao to fix up the total amount of bribes to be given. Way back in 2006, Bothli Trade, a subsidiary company owned by Firtash's Group DF and the Andhra Pradesh State Government had agreed to set up a joint venture to mine various minerals including ilmenite that may be processed into various titanium based products. In the next year, A Company entered into an agreement with another subsidiary company of Bothli Trade to work towards a further agreement would allow Bothli Trade to supply titanium sponge from the project to it on an annual basis. The mining project required licences and approval of both the State and the Union Government before the licenses issued.
It is allegedly that they have financed the project and transferred and concealed bribe payments through Group DF, and used threats and intimidation to advance the interests of the enterprise’s illegal activities.