Bengaluru: Bengaluru urban authorities have recovered one acres of land on survey number 40/9 of Devasandra village in K.R. Puram hobli, worth Rs 150 crore, from the VR Mall on Whitefield Road. It is alleged that the mall has encroached upon about one acre of land and the officials had put up a notice board, after marking the area of encroachment to begin demolition.
According to the officials, VR Mall owned by Suguna Commercial Holdings Pvt. Ltd, had put up lawn, security post, bar, reception and lift in the area. It has been served eviction notice and the demolition work would start soon, officials said. They land classified as government katte kharab land belonged to the Karnataka Industrial Areas Development Board (KIADB) and was allotted to Dooravani Cables for industrial purpose. The company sold the piece of land to Suguna Commercial Holdings Pvt. Ltd., which in turn constructed the mall. The officials objected to this and moved court citing encroachment, and got the ruling in their favour.
No rules violated: Promoters
“The allegation that VR Bangalore has been built on encroached Kharab land is completely baseless and incorrect. As a foreign direct investor in India, we find it concerning that false allegations were made and investor was being troubled, when they have abided by every law of the land. This at a time when the stated policy of both Union and State governments is to attract long term FDI that helps create new infrastructural facilities and assets and help build ‘Smart Cities’,” the promoters statement.
They pointed out that the land in question was acquired in 1970 by KIADB, a statutory body of the State Government. KIADB further allotted and sold the land for an industrial unit, which was set up and operated for 35 years as a cable manufacturing factory by Doorvani Cables and subsequently by a company called Sugam Vanijya, until the unit became sick and shut down. Subsequently BDA promoted this area for re-development of old and polluting industrial units under its revised and publically available development plan.
“In February 2008, Virtuous Retail (VR), a foreign investor of international repute bought the company by investing substantial amount of FDI. VR has no relation to either Doorvani or the original promoters of Sugam. VR subsequently invested additional FDI to redevelop the sick and shut down industrial unit into an integrated lifestyle anchored tourism oriented development under its VR brand. All diligence including issuing a public notice was undertaken and the project applied for and received approvals from all government departments, including separately from KIADB and from the BBMP.
