He was 81.
"He was admitted to the hospital on September 20 following some ailment and he breathed his last at 5 PM while undergoing treatment," hospital sources said.
Rao, who produced a film like "Sankarabharanam", was also known for movies like "Swati Muthyam" and "Swayam Krushi".
He was born on April 24 in 1934 in East Godavari district of Andhra Pradesh. His last rites will be conducted tomorrow, family members said.
Andhra Pradesh Chief Minister N Chandrababu Naidu condoled his death. Several Telugu film personalities also expressed grief on his demise.
His films "Sagara Sangamam" and "Sitara" also won national awards.
He was nominated for the prestigious Dada Saheb Phalke Award.
Rao also produced the movie "Aapatbandhavudu" under the Poornodaya banner, which won both critical and popular acclaim.
He also served the film industry at both the state and the national level in various capacities. Rao was also the President of Telugu Film Producers Council.
