State yet to get Rs 2,559cr for alienated land

The 409 cases taken up by the CAG in its audit report for 2010-11 included Vanpic, Emaar, Gali Janardhan Reddy’s Obulapuram Mining Company, Lepakshi Knowledge Hub of Indu, which are currently under the scrutiny of the CBI.

Asked whether the report would be of any help to the CBI, accountant general Ms Vani Sriram said she couldn’t comment on the CBI probe.

Highlighting the arbitrary methodology adopted while allotting land during YSR’s regime, the accountant general said 250 acres were given to Georgia Institute of Technology, USA, just on the proposal sent by the Chief Minister. There was no approval from the Cabinet, she said.

In fact, the government is yet to realise the cost of land alienation in 60 cases in 11 districts, resulting in dues amounting to Rs 2,559 crore, the auditor said.

Regarding Vanpic, the CAG said alienation of land lacked legitimacy and transparency. The terms of agreement were loaded heavily in favour of the concessionaire and the state had no elbow room to amend the agreement without the concessionaire’s consent.

The report also pointed out that the state lost heavily because of the agreements that Emaar Hills Township Limited entered into with Emaar MGF. In case of Mindspace, the CAG found fault with the government (headed by Mr Chandrababu Naidu) for allotting 110 acres on nomination basis to the Rahejas and empowering them to sell or lease it to any firm of their choice.

Thus the developer sold land to its own companies without keeping APIIC in the loop.

The report further stated that against the projected employment of 5.93 lakh jobs, four SEZs, which had been allotted 9594.01 acres of land at concessional rates, had generated zero employment opportunities while the remaining seven, to which 8317.47 acres of land had been allotted, had generated only about 0.26 lakh (4 per cent) jobs during the last four to five years.

This was the first time that the CAG has come out with a comprehensive audit report on land allotments in AP though the largesse of the YSR government has been a subject of major scandal and controversy in the last few years.

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