September 2014 During Kaloji centenary celebrations event at NIT, Warangal, Rajaiah promised to establish a Health University for Warangal, seemingly without the direction of Telangana Chief Minister KCR. Speaking in the same event, KCR remarked, "Here is our Deputy Chief Minister Mr. Rajaiah. He says he would set up a Health University wherever he goes. Can you do it?" He followed this by saying,
"ollu daggara pettukuni matladu," which loosely translates to "guard your tongue before speaking". This comment which did not go well among the Madiga caste members, including
Manda Krishna Madiga. He criticized KCR for allegedly conspiring to remove Rajaiah from his Deputy Chief Minister position. In front of a large audience, the Deputy Chief Minister, who belonged to the
Dalit community, faced humiliation, and KCR's behavior was perceived as disrespectful and damaging to the self-esteem of Dalits. It was speculated that KCR preferred not to have his ministers make promises independently, as he wanted to take credit for all the government's schemes and programs. Bakka Judson, TPCC leader, filed a complaint with the National Commission for Scheduled Castes, alleging insult to Rajaiah. Judson demanded an apology from KCR and called for Rajaiah's resignation as Deputy CM if no apology is given to protect Dalit self-respect.
January 2015 Charges of corruption in the Telangana's medical and health department surfaced and indicated Deputy Chief Minister Thaikonda Rajaiah's involvement or 'tacit ignorance' of illegal actions in the department. While Rajaiah's dismissal appeared to have been on the cards for quite a time since September, 2014 when he promised a Health University for Warangal seemingly without Telangana CM Kalvakuntla Chandrashekar's direction. Chief minister's political secretary S Subhash Reddy said, "The developments were on expected lines. The matter of corruption charges against a minister is a serious one." Rajaiah has earned the dubious distinction of being the First Minister in Telangana to be sacked. Allegations of corruption against the health and medical department include irregularities in recruitment of para-medical staff and purchase of ambulance vehicles. In a last ditch effort to defend himself, Rajaiah had written to the chief minister seeking forgiveness for his omissions and commissions, but to no avail. On 25 January 2015, before Republic Day, Rajaiah was "supposedly" sacked for his behavior. His duties were transferred to a Bindla caste member (non-
madiga) member Kadiyam Srihari who is also from Warangal, in order not to lose the Scheduled Caste vote bank. ==Madiga community's response==