Last Chief Minister of the United State, Kiran Kumar Reddy has created a Special Development Fund of 600 Crore. Under this fund, the Chief Minister will have sole discretion on this fund and he can make allocation at his own discretion without any administrative sanction or technical clearance from the concerned departments for undertaking the work. Telugu Desam Party has asked to freeze all the payments under this fund.
Under this scheme, in Kiran Kumar Reddy’s own Assembly segment Pileru was sanctioned work worth more than Rs 100 crore within a span of 15 days. Chandra Babu suspects that this 100 Crore may be allotted to benefit Kiran’s own men. Government also ordered circulars to stop all projects undertaken six months before the general elections as soon as the new government is formed and now it extended the circular to stop all the projects before nine months before the elections.