"BJP requires an internal Lokpal to probe why and how tainted leaders have been granted entry into the party, much against the sentiments of party workers," Rai told reporters.
"The party leadership should set up a three-member committee headed and it should be given 15 days time to probe the reasons behind protests at several places against such decisions," he said.
To a media query, he said there are reports that about 30 per cent tickets have been distributed in the state by taking money and alleged that fingers are being pointed at state BJP unit president Surya Pratap Shahi and party leaders Rajnath Singh and Vinay Katiyar.
Rai refuted suggestions that he had a deal with the Congress, saying he would have been given a poll ticket by it if it was the case.
The suspended leader, in his reply today to the notice served on him by Shahi, charged him with adopting double standards on the issue as no action has been initiated against party MPs Maneka Gandhi, Varun Gandhi and Yogi Adityanath who had also expressed reservations on Kushwaha's entry in BJP.
He also claimed there was no truth in the statement that Kushwaha would help BJP get support of backward communities as there are several backward leaders within the party who have been neglected and others on whom the party is not showing enough confidence.
Rai, a former national president of Yuva Morcha, was suspended on Monday had been suspended from the party after he alleged that a deal was struck between some leaders of the party and former BSP minister Babu Singh Kushwaha for his induction in BJP.