Hyderabad: Despite disagreement with high officials, the state government is going ahead with allotment of about 1,500 acres of land in Kona village to GMR group on outright sale. But registration is doubtful. Sources said the state government has asked this issue to be listed on the cabinet agenda scheduled for May 2.
Responding to an item which appeared in these columns under the headline “Land sale to GMR blocked,” GMR, in a press release, said, Kona land was allotted in 2007 and agreement for sale was executed in November 2015. The registration has been sought as it is permissible under the Industrial Development Policy 2015-20 and AP Industrial Development Enabling Act 2001.
The GMR press release also said, “GOAP has allotted Kona land to Kakinada SEZ on outright sale basis for establishment of the port and allied industries and executed the agreement for sale in November 2015 for which the entire consideration has already been paid long back.”
The officials said that generally state government allots land to some industries on outright sale basis but does not allow registration in the name of that industry. Though the land has been alloted on outright sale basis its rights will be with the government. The state government considers registration only after completion of the project within the stipulated time.
Officials said that in the GMR case, the land was allotted in 2007 and after seven years, the project had still not been executed. According to the conditions of land allotment, the state government has right to take back the land.
Regarding the claim of GMR that registration is permissible under the 2015-20 Industrial Policy, the officials said that the land was allotted in 2007 and hence, outside the purview of the policy. They said if that is the case all industrialist, including those who set up their units long ago in the state, would apply for registration of land in the name of their industries and the government will lose its right on the lands allotted.
They said that the new industrial policy is applicable to industries set up from 2015 to 2020. The new industrial policy regarding allotment of land to the industries said “land shall be allotted on 99 years lease, State Investment Promotion Board (SIPB) may consider outright sale of land in the following cases, that investment is exceeding Rs 100 crore, the industry is located in backward areas to be notified by the government and others. But in the new industrial policy the state government said allotment of land on outright sale basis, but state government did not said outright sale of land with registration.
Meanwhile according to top sources, Secretary of Infrastructure Depar-tment, Ajay Jain, wrote in the file regarding GMR land issue, “The registration of land to the ports is not possible.” Chief Secretary SP Tucker also objected to the registration.
He wrote “How can the new industrial policy 2015-20 of state government be applicable to the project proposed in 2007?”
