Here are 10 developments in the story:
In what is the 45th transfer in his 23-year career, Mr Khemka was removed last night as Transport Commissioner and shifted to the low profile Archaeology and Museums Department, the same department where the previous Congress government had moved him.
"Tried hard to address corruption and bring reforms in Transport despite severe limitations and entrenched interests. Moment is truly painful," the 49-year-old officer tweeted, upset at the move by a party that had strongly supported him while targeting the Congress over Mr Vadra's controversial deal.
Sources say Mr Khemka had sharp differences with Transport Minister Ram Vilas Sharma. In December, he had ordered district officials to penalise overloaded vehicles, which reportedly left the politically powerful mining lobby angry.
"Khemka is an honest officer. The government can post him anywhere. It is the government's prerogative," said Chief Minister ML Sharma.
As the BJP government justified the transfer, one minister, Anil Vij, stood out as an exception. "I am with Khemka. He worked to root out corruption in Congress rule," he said.
The IAS officer has been transferred multiple times since November, 2012, when he cancelled the sale of 3.5 acres of land in Gurgaon near Delhi by Robert Vadra's company Skylight Hospitality to real estate giant DLF for Rs 58 crore.
An auditor's report said the Congress, which was in power at the time, bent rules to enable windfall gains for Mr Vadra's company. The report was ignored by the Congress government, which set up its own inquiry and then charge-sheeted Mr Khemka for "causing damage to Robert Vadra's reputation" and "illegally" cancelling the deal.
The new government supported Mr Khemka but has not yet acted on his request to cancel the charge-sheet against him.
"The BJP should answer. They had made such a big issue about his transfer. I am neither for him nor against him but this shows the double standards of the BJP," said senior Congress leader Kapil Sibal.
Downplaying the transfer, BJP leader Shahnawaz Hussain said: ""Service is service, archaeology is also an important work."
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