The Chief Minister will keep the portfolio with him. Governor Tamilisai Soundararajan approved the transfer of the portfolio from Rajender to the Chief Minister.
"On the advice of the Chief Minister of Telangana, the Governor has approved the transfer of the Medical, Health & Family Welfare portfolio from Eatala Rajender to the Chief Minister with immediate effect," said a press communique from Raj Bhavan on Saturday.
The development came a day after the chief minister ordered inquiry into allegation of land grabbing against his cabinet colleague.
The Chief Minister on Friday evening instructed Chief Secretary Somesh Kumar to get an inquiry done by the district collector on the complaints of encroachment of lands.
He also instructed Vigilance DGP Purnachandra Rao to find out the truth on the allegations.
Chandrasekhar Rao ordered the probe after some farmers in Medak district submitted a complaint to him alleging that the Health Minister forcibly took over 100 acres of their assigned lands to start a poultry industry.
Eight villagers from Achampet and Hakimpet villages alleged that the minister and his followers had taken over their lands to start a poultry industry. They sought intervention by the Chief Minister and appealed to him to ensure that the assigned lands given to them by the government be restored to them immediately.
A couple of hours after the Chief Minister ordered the probe, the Health Minister addressed a news conference to deny the allegations and claimed that a campaign was being run for his character assassination.
Rajender said he was ready to face a probe even by a sitting judge or the Central Bureau of Investigation (CBI).
Vigilance and Enforcement officials on Saturday began the probe into the allegations. Medak district collector said that preliminary investigations show the assigned lands were encroached.