THIRUVANANTHAPURAM: The report of the Comptroller and Auditor-General of India released on Monday accused the state government of extending undue favours to Infosys, though the IT major backed out of its plans to set up a second campus at Technocity saying the state government had ignored its woes.
According to the report, the agreement with Infosys was diluted by extending the land lease period from 25 years to 90, but the commitment of the IT major on creating 5,000 jobs was not enhanced in proportion.
As per the agreement with Infosys (for the first campus on Technopark phase- II area), the IT firm was required to create at least 5,000 jobs by 2014.
But a fresh agreement was entered into in 2009 by extending the lease period from 25 to 90 years and the date of completion extended to 2016 as against 2014.
But the target on job creation was not enhanced from 5,000, the report said.
The report also criticised Technopark for not levying penalty for the delay in commencing the work in Technocity and Technopark.
The IT department was also criticised for its failure in framing regulations to govern the activities connected with land issues.
