HC Orders ACB Probe Into Alleged Rs 15-Crore KMC Asset Grab Conspiracy

Vijayawada:The Andhra Pradesh High Court has ordered an inquiry by the ACB into a conspiracy to grab property worth nearly Rs 15 crore belonging to the Kakinada Municipal Corporation and an attempt to mislead the court and get an order.

A single judge bench of Justice N Harinath issued the order in a review petition vis-a-vis two writ petitions of 2013 and 2015.

The writ petition 11254 of 2013 sought a court order declaring as “illegal and arbitrary” the action of the respondents in trying to construct a compound wall over an extent of 700 square yards belonging to the petitioner in survey number 127/4, ward 30 in Ramanaiahpeta of Kakinada urban mandal in erstwhile East Godavari district; and a direction to the respondents not to make any construction over this land.

The writ petition 13428 of 2015 urged the court to declare the action of the respondents as one of “interfering

with possession and development of the land” of the petitioners in 750 square yards and 220 square yards; and a direction to the respondents not to interfere with development activities.

In both the writ petitions, Jayendra Nagar residents’ welfare association filed petitions seeking to implead as a party respondent to the writ petitions. The respondent’s case was that the open areas were gifted to the Kakinada municipal corporation in pursuance of the layout and were specially earmarked for public purposes; and that the compound walls were constructed in three such open places.

When the construction of the compound wall was in progress on the fourth open area, the writ petitioner approached the court and claimed title over the property.

However, KMC filed a counter, saying the specific stand of the corporation was that the subject property would form part and parcel of an open space of a layout and that it was the bounden duty of the KMC to protect the open areas.

Subsequently, review petitions were filed. Counsel appearing for the petitioners submitted that this was a valuable property, an open space earmarked for public purpose. “The petitioners, in connivance with the official respondents, hatched a plan to grab the property and mislead the court to pass an order dated 08-01-2026,” he stated.

It was also submitted that the conduct of the counsel appearing for the writ petitioners and the advocates appearing for the official respondents was evidently misleading.

The court, therefore, recalled the order as it was “obtained by playing a fraud on the court.”

Moreover, the court expressed its displeasure at the way advocates who appeared for the writ petitioners and the respondents played a fraud on this court and viewed this as serious.

The conflict of interest was a concern to be enquired into and the risk of privileged information -leak across the marital relationship existed. The reason for such conduct and the motive for playing a fraud on the court would require an inquiry, the court observed.

It noted: “Property worth several crores of rupees belonging to the KMC was planned to be knocked off by fraud in court.”

The court directed the ACB director general to entrust the inquiry to an officer not below the rank of IG and submit a report to it in 12 weeks.

The review involved Jayendra Nagar residents welfare association and petitioners/respondents-Vasamsetty Apparaopeta, Vasamsetty Mahalakshmi, Duvvuri Nageswara Rao, Mummana Surya Rao,Kakinada municipal corporation, the building inspector and AP government.