The investigative agency released the fourth charge-sheet and named the minister as the fifth accused in the DA case in which four other ministers including Jagan have already been named.
Mr Rao is the minister for roads and buildings in the state. Other ministers who have been named in the charge-sheet are - Vijaysai Reddy, industrialist Nimmagadda Prasad and former excise minister Mopidevi Venkatramana.
According to CBI sources, the officials added a new Section 9 under the Prevention of Corruption Act in the recently released charge-sheet which is also a supplementary to the first charge-sheet.
The 39-year-old Kadapa MP and YSR Congress chief has been accused of taking part into a conspiracy where he allegedly had taken a huge amount of money and helped many companies to bag several deals in a throw away prices during his father YS Rajashekhara Reddy's regime.
Jagan earlier was grilled by the investigative agency and later was arrested. He has been lodged in Chanchalguda jail near Hyderabad and his judicial custody has been extended till Tuesday, Aug 14.