Employee of private firm engaged by Telangana govt held for ''misuse of digital assets''

The Commissioner, Electronic Services Delivery ESD of the IT and Communications department of the Telangana government said in a release that the firm was appointed in 2017 through a work order for the development of a digital platform and others. Though the process of handing over the project responsibilities to the new firm began, the company facing allegations violated the governments orders, it said.

Police arrested a senior-level employee and are trying to apprehend the MD of a private firm appointed by the Telangana government to develop a digital platform. The arrests stem from allegations of misusing digital assets and attempting to stall the project handover. The Commissioner, Electronic Services Delivery (ESD) of the IT and Communications department of the Telangana government said in a release that the firm was appointed in 2017 through a work order for the development of a digital platform and others. As per the agreement, source code, data, and full rights over digital assets would belong to the state government after the expiry of the stipulated time period, it said. The agreement was extended thrice with the same conditions, and the firm's tenure came to an end on May 31, 2025. The government had called a transparent tender process for the selection of a new firm, and another company was selected, it said. The company, facing allegations, changed its attitude and did not cooperate with the government. It allegedly tried to claim government data as its own by taking the help of false ownership documents, the release said. Though the process of handing over the project responsibilities to the new firm began, the company facing allegations violated the government's orders, it said. Though it agreed to hand over the data to the new firm, as per the rules of the tender, it did not fulfil the promise, it said. The government registered a case with the police to safeguard public assets and to take legal action, the release said. During the investigation, the chief of projects of the company facing the allegations was arrested, and efforts were underway to apprehend its MD and a project manager, it added.