The agency has asked the aide of late chief minister Y S Rajasekhara Reddy to appear at its makeshift office at Dilkusha guest house here tomorrow, a senior CBI officer told PTI.
Rao was the government advisor when share of the Andhra Pradesh Industrial Infrastructure Corporation (APIIC) in the township was reduced from 26 per cent to six per cent, causing huge losses to the public exchequer. Rao is alleged to have played a key role in the decision to reduce APIIC's share.
The CBI questioned had Y S Jaganmohan Reddy's aide and YSR Congress party's spokesman Ambati Rambabu, who was the chairman of APIIC when its equity in the joint venture was diluted, on January 8. The agency had arrested businessman Koneru Prasad in the case in November last year.
This was first arrest in the case registered in August last year on the direction of the Andhra Pradesh High Court. Dubai-based real estate firm Emaar Properties and its Indian associates were booked by the CBI for allegedly cheating APIIC in the township project.
The investigating agency has named then managing director of APIIC B P Acharya, Emaar Properties, EHTP, Emaar MGF and Stylish Homes of Koneru Prasad besides some unnamed public servants as accused in the case.