The Enforcement Directorate (ED) on Friday filed a money laundering case against BRS leader KT Rama Rao in connection with a case linked to payments made for the formula-E race in Hyderabad.

This came hours after the Telangana High Court directed the Anti-Corruption Bureau (ACB) officials to not arrest the BRS leader till December 30 in the same case.

The order was delivered by the High Court judge Justice Natcharaju Shravan Kumar Venkat, who was hearing a Lunch Motion petition moved by Rama Rao seeking to quash the FIR filed against him by the ACB.

The HC, while granting interim relief, directed the petitioner to cooperate with the probe and posted the matter next week for further hearing. The government was directed to file its counter.

What's the Formula-E race case against KTR

The Telangana ACB on Thursday registered a case against BRS working president and MLA Rama Rao over alleged payments, some of it in foreign currency without approvals, to conduct a Formula-E race in Hyderabad during the previous regime.

Governor Jishnu Dev Varma had recently granted permission to register a case against Rama Rao, over the issue.

The FIR named Rama Rao as the prime accused, senior IAS officer Arvind Kumar and retired bureaucrat BLN Reddy as accused no 2 and 3 respectively.