NAGPUR: While chief minister Ashok Chavan is trying to push Mihan, there is another shocker awaiting the prestigious project. National carrier Air India is almost ready to dump its freighter services that were supposed to use Nagpur's Dr Babasaheb Ambedkar International Airport as hub. Announced in 2007, the project was to be launched by converting Air India's old Boeing 737s into freighters.
Air India was supposed to launch the cargo services connecting six major destinations through Nagpur. It would have greatly added to the appeal of Mihan. However, the cash-strapped Air India seems to have abandoned the plan. In fact, it has offered the reconfigured aircraft for sale. This development is another jolt to Mihan after the India Post recently discontinued its 'night airmail service'.
A local Air India official, requesting anonymity, said the company had planned to operate AI's reconfigured aircraft in phases from Nagpur. However, plans have not fructified and now management has decided to shelve the project.
Another official in Mumbai said, "AI plans to sell six Boeing 737-200 freighters which were converted for cargo operations in 2007," he said. Apart from these aircraft, the airline had converted four Airbus A 310-300 into freighters at a cost of $ 40 to 50 million. Now Air India has invited tenders to sell all these aircraft, he said. AI General Manager, corporate communication, Chandrakumar however denied that plans for freighter service were cancelled. He said the 8 aircraft on sale were 20 -years-old and the sale had no relation with the project.
"The project is in pipeline and a decision will be taken in board meeting," he said. AI's cargo head Anita Khurana said she was not aware of plans to sell freighter aircraft. However, she said that the freighter service from Nagpur was on hold.
Chief Minister Ashok Chavan on Tuesday promised that State Government will probe the land allotment made by MADC to various companies including Satyam at a throwaway price. Replying to a specific query, Chavan stated, he will refrain from making a detailed comment since the matter is sub-judice, but the Government would definitely look into allotment of Telhara lake to Satyam computers free of cost and other related issues pertaining to irregularities in land allotment.
It may be recalled that Citizens Forum had recently filed a PIL before Nagpur bench of Bombay High Court alleging massive irregularities in land allotment by MADC and had specifically named MADC MD and Vice-Chairman R C Sinha for allotting land as per whims and fancies and showing favours to a chosen few. Even the Comptroller and Auditor General (CAG) had rapped MADC for allotting 128.06 acre land for Rs 19 lakh per acre when the prevailing market price was ten times more. The land was allotted in such a manner so as to allow Satyam Computers to exclusively use Telhara lake spread over 100 acre, the PIL had alleged.
Against this backdrop, the scribes sought Chief Minister’s response since he is ex-officio Chairman of the MADC.
Talking about the slow pace of development of MIHAN, Chavan said, efforts are underway for take-off of the project. “The recession mode is out and the situation is much better now. MIHAN, which too was affected of the recession, will soon get attract investment,” he hoped.
NAGPUR: Deepak Nilawar may be the only realtor having received an attachment notice from a bank but a number of other players having a stake in Wardha Road properties are also learnt to be in a debt trap. Some are in trouble with banks but many are also in trouble with private lenders in Hundi (promissory notes) market, say sources.
The realty slump of 2008, followed by a sharp drop in investor confidence in Mihan, led to blocking of substantial funds of these businessmen. Many had borrowed money from private Hundi market apart from availing institutional finance like bank loans to purchase these lands at astronomical prices.
On the brighter side, small investors who have bought plots from these firms need not worry. Their money is not entirely lost even though they may suffer some loss as the land may not appreciate to expected levels. Their principal amount is largely safe, experts say.
It all began with reckless investment into huge tracts of land along Wardha Road by developers. This continued for some time as Mihan hype continued. However, the chain broke due overall slump in economy and setback to Mihan, said a source.
This led to drop in demand for properties with developers' huge sums stuck in land deals. Suddenly, a majority of buyers turned into sellers further deteriorating the situation. Some realtors raised more money from the private sources to come out of the situation. That led to repayment problems, sources said. Many banks too stopped further funding of realty ventures, except with permission from headquarters which was not given easily.
Last year there were reports of a player in Wardha Road land having desperately raised almost Rs 13 crore from the Hundi market and another prominent one being hounded by recovery agents. Most realtors in debt belong to a close circle having affiliation to various influential political leaders, said the source.
"The land rates in Wardha Road have gone down phenomenally which indicates trouble. An acre of land which was being quoted for Rs 1 crore is being now offered for almost half the price or even less," said a builder.
Suresh Agrawal, a realty analyst from the Vidarbha Industries Association (VIA), however, said all was not over. Nilawar's appears to be the lone case and even if others are in difficulty, their networth is still comfortable, he pointed out. He confirmed though that realty sector had not entirely emerged out of the crisis as far as businessmen are concerned.
HC notice to MADC on land allotment scam in MIHAN-SEZ-Hitavada
*PIL filed by Citizens Forum slams MADC for allotting 10 acre land free to First City
**R C Sinha’s role in allotting land at a throwaway price to Satyam under fire
Staff Reporter
Role of Maharashtra Airport Development Company (MADC) Vice-Chairman and Managing Director R C Sinha in allotment of land to realty majors in MIHAN-SEZ came under fire in a Public Interest Litigation (PIL) filed by Citizens Forum alleging massive irregularities, arbitrariness in land allotment to several companies. The Forum has demanded judicial inquiry to probe illegalities committed by MADC and its top officials.
The PIL has filed by Citizens Forum through its president Baba Dawre, also demanded an impartial inquiry against MADC for its decision to allot 10 acre land free of cost to M/s Reatox Builders and Developers which is coming up with FirstCity project within MIHAN-SEZ area.
A division bench consisting of Justice Sharad Bobde and Justice Mridula Bhatkar after a brief motion hearing issued notices to Central Government, State Government, MADC through its Vice-Chairman and MD R C Sinha, Divisional Commissioner and District Collector.
For MIHAN-SEZ, a large tract of agricultural land of various villages in Nagpur taluka mainly Sonegaon, Shivangaon, Somalwada, Chinchbhuvan, Telhara, Parsodi, Khapri, Issasani, Jaitala, Dahegaon, Kalkuhi and same has been disposed-off at very fluctuating price by adopting pick and choose policy, PIL stated. This was done with an ulterior motive to favour particular companies, the petitioner alleged.
The MADC did not follow any process and price was determined as per whims and fancies of the authorities for their personal gain, the PIL alleged. Pointing out two specific examples of alleged favouritism the petitioner-organisation stated that M/s Satyam Computers was allotted 128.06 acre land for Rs 19 lakh per acre when the prevailing market price was ten times more. The land was allotted in such a manner so as to allow Satyam Computers to exclusively use Telhara lake spread over 100 acre.
R C Sinha was earlier Chairman of a company called MAYTAS which was sister concerned of Satyam Computer Service. As soon as fraud committed by Satyam came to light, Sinha resigned from MAYTAS, the PIL stated while raising a doubt about his role in allotment of land to Satyam and other companies.
Adv Abhay Sambre appearing for the petitioner told the High Court that MADC had allotted 10 acre land free of cost to M/s Reatox Builders in lieu of curtailment in height. Even the Comptroller and Auditor General of India had raised serious objection over the MADC’s decision to allot land to Satyam for peanuts. The PIL specifically charged MADC with allotting land at a very low cost to companies which were being favoured by MADC without any justifiable reason. Though such illegalities have been pointed out on several occasions, the State Government has not taken any action against MADC officials.
The PIL has urged the High Court to appoint judicial committee to enquire into illegalities committed by MADC top officials in land allotment, enquiry against MADC for allotting land to companies like Satyam and Reatox free of cost and also a direction to stay further allotment of land during pendency of the petition.
Nagpur bench of Mumbai High court compromising Justice Sharad Bobde and Justice Mrudulla Bhatkar today to issued notices to the Union of India, through its Secretary, Ministry of Urban Development Department, The State of Maharashtra through its Secretary, Ministry of Urban Development Department, ,The Multimodal International Hub Airport at Nagpur (MIHAN), through its Vice President, and local collector and commissioner in matter of massive corruption and land scam in the land allotment of MIHAN project demanding judicial probe and stern action against officers involved in massive corruption .punbli interest litigation has been filed by Citizen forum through its President Baba Daware ,HC has asked all respondents to submit the reply within two weeks
Citizen forum in PIL has given the complete undue and malpractice reported in the MIHAN project in detail here I quote the contains of PIL ,
QUOTE
It is submitted that the respondent no. 1 is controlling authority over all the respondents and is Union of India under whose sanction the project called “M.I.H.A.N.” is being developed. The respondent No. 2 is State of Maharashtra through its Secretary, Urban Development Department and the respondent No. 3 is the Vice President, MultimodalInternationalHubAirport at Nagpur (MIHAN), the respondent No. 4 is Divisional Commissioner, Nagpur Division, Nagpur and respondent No. 5 is Collector, Nagpur. The respondent No. 4 and 5 are the statutory authorities and all the respondents are State within the meaning of Article 12 of Constitution of India and are amenable to the Writ Jurisdiction of this Hon’ble Court. The Petitioner at the outset submits that the petitioners are not at all against the project called as “MIHAN”. However the petitioner is concerned with various illegalities and irregularities involved in the MIHAN project considering the facts that the project is implemented by acquiring huge number of agricultural land of various villages in Nagpur Taluka mainly Sonegaon, Shivangaon, Somalwada, Chinchbhavan, Telhara, Parsodi, Khapri, Issasani, Jaitala, Dahegaon, Kalkuhi etc, and the same has been disposed-off at very fluctuating price by adopting pick and choose policy.
It is most humbly and respectfully submitted that the respondent No. 3 MIHAN have acquired huge land of the villagers in Nagpur Taluka and the awards are passed and the proceedings are going on under Land Acquisition Act. It is submitted that while allotting the land to various company the respondents’ no.3 have not maintained uniformity and have allotted the land at very low price to favour particular company, with an ulterior motive and at the same time the land sold/allotted at very high price to another company. It is submitted that no procedure for auction was held and allotment has been done as per the choice of the respondents’ no.3 causing huge losses to the Project and huge misappropriation by the Authorities for their personal gain. It is further submitted that the following deals clearly demonstrate that the manner in which the respondents no.3 have not maintained uniformity in allotting land to various companies.
It is submitted that on 27/05/2008 the respondent No. 3 allotted 128.06 Acres of land for 99 years lease period for setting up I.T. campus in the special economy zone area of MIHAN project at the rate of Rs.19 lacs per acres to M/s Satyam Computer Services Ltd., Secunderabad. Modifying earlier allotment of 12/12/2005.
It is most humbly and respectfully submitted that on 17/12/2005 the respondent No. 3 allotted 100 Acres of land for I.T. park in Special Economy Zone of MIHAN project to M/s Shapoorji Pallonji & Co. Ltd., Kolaba, Mumbai at the rate of Rs. 65,00,000/- (65 lacs) per Hectare which comes in village Khapri, Kalkuhi and partly in village Dahegaon.
7)It is submitted that on 31/03/2006 the respondent No. 3 allotted 50.85 Acres of land in Special Economic Zone at MIHAN at the rate of Rs.30,00,000/- per Acres to Larson & Toubro Limited, Chennai.
8)It is submitted that on 21/05/2008 the respondent No. 3 allotted 54 Acres of land for 99 years lease at the rate of 35,00,000/- per Acres of development of I.T. park in special economy zone to M/s Vipul Karamchand SEZ Pvt. Ltd., New Delhi coming under village Dahegaon and Khapri.
The respondent No. 3 on 17/06/2008 allotted 27.85 Acres of land to M/s Building research and management services Pvt. Ltd., at the rate of Rs.35,02,000/- per Acre coming under village Kalkuhi.
It is submitted that the respondent No. 3 on 31/07/2006 allotted 55 Acres of land to M/s. Ambuja Realty Development Ltd., and M/s. Ecoworld Infrastructure Pvt. Ltd. for developing IT Park in Special Economic Zone (SEZ) area of MIHAN project @ Rs.35,02,000/- per Acres coming under village Kalkuhi.
It is submitted that the respondent No. 3 on 25/08/2006 allotted 63.1 Acres of land to Ascendas Land International Pte.Ltd., or its appointed subsidiary company for the development of an IT business park in Special Economic Zone (SEZ) area of MIHAN project @ Rs. 35,02,000/- per Acres coming under village Kalkuhi and partly in Khapri.
It is submitted that the respondent No. 3 on 14/07/2006 allotted 153.24 Acres of land to M/s. DLF Ltd., for developing IT Park in Special Economic Zone (SEZ) area of MIHAN Project @ Rs. 35,02,000/- per Acres. The allotted area to M/s DLF is revised to 140.286 acres on 08/06/2007 coming under village Kalkuhi and partly in Khapri.
It is submitted that the respondent No. 3 on 08/03/2007 allotted 140 Acres of land to M/s. HCL Technologies Ltd., for developing IT Campus in the processing area of MIHAN project @ Rs.44,00,000/- per Acre coming partly under village Telhara and partly in village Kalkuhi.
It is submitted that the respondent no. 3 on 05/04/2007 allotted 117 Acres of land to Wipro Technologies, Bangalore for developing an IT campus in MIHAN, @ Rs.44,00,000/- per Acre which consist of 160.42 Acres of plot area, 30.24 Acres of zudpi jungle and 13 Acres under water channels.
It is submitted that the respondent no. 3 on 10/01/2007 allotted 2.471 Acres of land to M/s. Taj SATS Air Catering Ltd., in the Special Economic Zone (SEZ) area of MIHAN Project @ Rs.44,00,000/-.
It is submitted that the respondent No. 3 on 29/08/2006 allotted 148.29 Acres of land to M/s. Sical Logistics limited & M/s Gupta Group of Companies for implementation of Road Terminal project on B.O.T. basis for 66 years.
It is submitted that respondent No. 3 on 12/04/2007 allotted 1.5 Acres of land to M/s RGen Solutions for developing an IT Unit in the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.44,00,000/- per Acre coming under village Dahegaon.
It is submitted that respondent No. 3 on 14/08/2008 allotted 1.268 Acres of land to M/s Haldiram Foods International Ltd., for setting-up a Food Processing unit in the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.60,00,000/- per Acre coming under village Dahegaon.
It is submitted that respondent No. 3 on 08/06/2007 allotted 1 Acre of land to M/s Zeta Softech Pvt. Ltd., for setting up their IT unit in the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.44,00,000/- per Acre coming under village Dahegaon.
It is submitted that respondent No. 3 on 05/05/2007 allotted 1 Acre of land to M/s Manmohan International Contracting for setting up their manufacturing unit in the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.44,00,000/- per Acre coming under village Dahegaon.
21)It is submitted that respondent No. 3 on 08/06/2007 allotted 1 Acre of land to M/s Dayalu Dall & Oil Mill for setting up their manufacturing unit in the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.44,00,000/- per Acre coming under village Dahegaon.
It is submitted that respondent No. 3 on 18/07/2007 allotted 1 Acre of land to M/s Soni Polymers Pvt. Ltd., for setting up their manufacturing unit in the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.51,00,000/- per Acre coming under village Dahegaon.
It is submitted that respondent No. 3 on 02/08/2007 allotted 30 Acres of land to M/s TAL Ltd., for setting up their manufacturing unit in the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.52,00,000/- per Acre coming under village Kalkuhi.
It is submitted that respondent No. 3 on 23/07/2007 allotted 1 Acres of land to M/s Zeon Solutions Pvt. Ltd., for setting up their Information Technology unit in the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.52,00,000/- per Acre coming under village Dahegaon.
It is submitted that respondent No. 3 on 03/08/2007 allotted 55 Acres of land to M/s Tata Consultancy Services Ltd., for setting up their Information Technology unit in the Special Economic Zone (SEZ) of the Multi-model International Hub Airport at Nagpur @ Rs.52,00,000/- per Acre is located partly in village Telhara and partly in village Dahegaon in Hingna PS and post office Khapri.
It is submitted that respondent No. 3 on 30/05/2008 allotted 1 Acres of land to M/s Gurudeo Datta Technologies., at the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.60,00,000/- per Acre.
It is submitted that respondent No. 3 on 20/06/2008 allotted 74 Acres of land to M/s Quality Care India Ltd., for development of Health City Project at the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.60,00,000/- per Acre.
It is submitted that respondent No. 3 on 13/11/2007 allotted 5 Acres of land to M/s Hexaware Technologies Ltd., for setting up their Information Technology unit in the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.60,00,000/- per Acre.
It is submitted that respondent No. 3 on 12/08/2008 allotted 10 Acres of land to M/s Hexaware Technologies Ltd., for 99 years lease in the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.60,00,000/- per Acre coming partly under village Dahegaon and partly in village Khapri (Rly.).
It is submitted that respondent No. 3 on 28/11/2007 allotted 3 Acres of land to M/s Leela Ventures (India) Pvt. Ltd., for setting up their Manufacturing Unit in the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.60,00,000/- per Acre coming under village Dahegaon.
It is submitted that respondent No. 3 on 01/11/2007 allotted 1 Acres of land to M/s Lipi International Pvt. Ltd., for setting up their Manufacturing Unit in the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.60,00,000/- per Acre coming under village Dahegaon.
It is submitted that respondent No. 3 on 18/02/2008 allotted 1 Acres of land to M/s Lokmangal Info Tech, for setting up their Information Technology unit in the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.60,00,000/- per Acre coming under village Dahegaon.
It is submitted that respondent No. 3 on 25/09/2007 allotted 1 Acres of land to M/s Blue Planet Info Solutions (India) Pvt. Ltd., for setting up their Information Technology unit in the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.52,00,000/- per Acre coming under village Dahegaon.
It is submitted that respondent No. 3 on 01/11/2007 allotted 1 Acres of land to M/s IT Shastra (India) Pvt. Ltd.., for setting up their Information Technology unit in the Special Economic Zone (SEZ) of the Multi-model International Hub Airport at Nagpur @ Rs.60,00,000/- per Acre coming under village Dahegaon.
It is submitted that respondent No. 3 on 03/09/2007 allotted 2.44 Acres of land to M/s M/s Rajtaru Studios Ltd., for setting up an IT unit in Special Economic Zone (SEZ) area of MIHAN Project @ Rs.52,00,000/- per Acre.
It is submitted that respondent No. 3 on 24/01/2007 allotted 5 Acres of land to M/s Ispat Industries Limited in Special Economic Zone (SEZ) area of MIHAN Project @ Rs.40,00,000/- per Acre.
It is submitted that respondent No. 3 on 07/06/2007 allotted 1 Acre of land to M/s Wordpro Computer Consultancy Services for setting up their IT unit in Special Economic Zone (SEZ) area of MIHAN Project @ Rs.44,00,000/- per Acre.
It is submitted that respondent No. 3 on 08/06/2007 allotted 2.5 Acres of land to M/s Star Champmans & Engineering Pvt. Ltd., for setting up their manufacturing Unit in Special Economic Zone (SEZ) area of MIHAN Project @ Rs.44,00,000/- per Acre.
It is submitted that respondent No. 3 on 08/03/2007 allotted 30 Acres of land to M/s HCL Technologies Ltd., for developing Residential Complex for its Employees in the Non-Processing Area of the Special Economic Zone (SEZ) area of MIHAN Project @ Rs.80,00,000/- per Acre.
It is submitted that respondent No. 3 on 03/02/2009 allotted 9.0 Acres of land to M/s Gati Limited in MIHAN Project Area @ Rs.1,01,00,000/-.
It is submitted that respondent No. 3 on 16/12/2008 allotted 9.0 Acres of land to M/s TCI Infrastructure Ltd., at the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.1,20,05,000/- per Acre.
It is submitted that respondent No. 3 on 18/02/2008 allotted 75.00 Acres of land to M/s BOEING Company, for setting up their Information Technology unit in the Special Economic Zone (SEZ) of the Multi-modelInternationalHubAirport at Nagpur @ Rs.36,00,000/- per Acre.
It is submitted that respondent No. 3 on 20/06/2008 allotted 36.5 Acres of land to M/s Duke Aviation Engineering Pvt. Ltd., for aircraft painting and engine R & O in Special Economic Zone (SEZ) area of MIHAN Project @ Rs.60,00,000/- per Acre.
It is submitted that respondent No. 3 on 18/04/2008 allotted 10.2 Hectares (25.734 Acres) to Mahindra Life Space Developers Ltd., Mumbai for construction of residential township @ Rs.80,00,000/- per Acres.
It is submitted that respondent No. 3 on 06/04/2005 allotted 24.738 Acres of land to Ramrao Adik Education Society (D.Y. Patil Group) for development of International School in MIHAN project area at Nagpur @ Rs. 26,31,578/-.
It is submitted that respondent No. 3 on 23/05/2006 allotted 31 Acres of land to M/s. Reatox Builders & Developers, Mumbai for development of Modern Township in MIHAN project at Nagpur @ Rs.72,00,000/- and also on 18/06/2008 allotted 11.626 Acres of land to M/s. Reatox Builders & Developers for development of “First City” Township project in MIHAN project @ Rs.80,00,000/-.
It is submitted that respondent No. 3 on 21/08/2006 allotted 27 Acres of land to M/s Ecoworld Infrastructure Pvt. Ltd. for development IT Park in Special Economic Zone (SEZ) area of MIHAN Project @ Rs.35,02,000/- per Acres.
It is submitted that respondent No. 3 on 11/04/2007 allotted 25 Acres of land to M/s Indu Projects Ltd., for developing an IT Park in Special Economic Zone (SEZ) of the Muti-modelInternationalHubAirport at Nagpur (MIHAN) Project @ Rs.44,00,000/- per Acres.
It is submitted that respondent No. 3 on 12/11/2007 allotted 5 Acres of land to M/s Caliber Point Business Solutions Ltd., for setting-up a IT unit in Special Economic Zone (SEZ) area of MIHAN Project @ Rs.60,00,000/- per Acres. The copy of chart showing the various companies to whom lands allotted by respondent No. 3 at different rates alognwith their allotment letters are annexed at ANNEXURE NO. 1 for kind perusal of this Hon’ble Court.
It is most humbly and respectfully submitted that there are large scale variations/fluctuation in the rate of allotment of land to the above person and the said variation/fluctuation is with a malafide intention because prevailing market price at the relevant time is much more, however the companies of the choice of the respondent no. 3 are being favored and allotted the land at very low cost without there been any reason for the same. The only conclusion which can been drawn that although the prevailing market rate was much high but still the land has been allotted at low rate and the margin between the actual rate and the rate of allotment on record is being misappropriated causing losses to public exchanger and public etc. and the project.
It is further most humbly and respectfully submitted that the allotment at Sr. No. 36, 37 in the chart shows that the respondent No. 3 allotted the land to M/s Gati Limited and T.C.I. infrastructure Limited at the rate of Rs.1,01,00,000/- and 1,20,05,000/- per acre specifically when the said allotment is dated 26/12/2008 for allotment of 9 Acres of land at the rate of 90,00,000/- per Acre was also dated 27/05/2008. It is apparent on the both the sample of allotment that the actual cost prevailing in the year 2008 was near about 1,20,00,000/- per Acre and the allotment to the Satyam Computers in the year 2008 itself at the rate of 19,00,000/- per acres clearly demonstrate the mis-appropriation by the respondent No. 3.
It is further most humbly and respectfully submitted that the respondent No. 3 has also allotted the 10 acres of Agricultural land to Reatox builders free of cost in addition to the land allotted to the Reatox builders at the rate of 72,00,000/- per acres. It is most humbly and respectfully submitted that there is no explanation or justification for allotment of additional 10 acres of land to the Reatox builders and developers specifically when 31 acres of land allotted on 18/06/2008 at the rate of 72,00,000/- per Acres. It is most humbly submitted that a news was published in the local news papers “The Hitavada” for allotment of additional 10 acres of land to M/s Reatox Builders and Developers. A copy of the same is annexed herewith and marked as ANNEXURE NO. 2 for kind perusal of this Hon’ble Court. That the bare a perusal of the paper cutting clearly demonstrate that the Government is just making a statement but not intending to take any action may be having some ulterior interest.
It is most humbly and respectfully submitted that the land allotted to Satyam Computers Limited having total 128 Acres of land is surrounded by the 4 lane road of MIHAN sector no. 1, 2, 3 and 4 on all the four sides, meaning thereby the Telhara dam which is under water of near about 100.3 Acre will be automatically allotted to the Satyam Computers Pvt. Ltd., in addition to 128 Acres of the land since the entire 128 Acres of land surrounding the 100 Acres of Telhara dam. It is therefore submitted that although the land allotted to the Satyam Computer Ltd., is at very low rate with ulterior motive additional 100 Acres of land comes under the Telhara dam is automatically allotted free of cost.
It is submitted that the Vice Chairman cum Managing Director of the respondent No. 3 MIHAN was earlier Chairman of company called MITYAS which was sister concerned of Satyam Computer Services. It is submitted that as soon as fraud and illegality committed by the Satyam Computer Services came into the light of the public at large Shri R.C. Sinha who was the Vice-Chariman of MIHAN resigned. That the petitioner is filing herewith a layout may of the MIHAN and is marked as Annexure no 3 for the kind perusal of this Hon’ble Court.
PIL has prayed that this Hon’ble High Court may kindly be pleased to
1} Issue Appropriate Writ or order or direction, directing the respondents no.1 and 2 to appoint Judicial Committee to enquire into illegalities and irregularity committed by the respondents no.3 in allotment of land under MIHAN to various companies and submits its report and take appropriate action against the respondent No.3 and other .
2} Direct the respondents to hold the enquiry against the respondents no.3 in allotting the land to the companies free of cost.
3}by way of an interim relief direct the respondent’s no.3 not to proceed further in allotment of the remaining land during the pendency of this petition.
4} Call upon the respondents no.1 and 2 to submit their explanation for not taking any action inspite of various news articles published.
5}Grant any other relief which this Hon’ble Court deem fit and proper in the interest of justice.
Now central and state Govt. reply will give clear picture of these allegation.
1) Why was the 31-acre land given at a subsidised rate to M/s Reatox and who is responsible for the huge loss to the state exchequer ?
2) Why were another 10 acres given free of cost to M/s Reatox?
3) Why is the MADC turning a Nelson’s eye towards open sale of flats to general public by M/s Reatox in violation of BoA approvals and its own affidavit ?
The land allotment to M/s Reatox Builders (promoters of ‘First City’ project) at a highly subsidised rate by Maharashtra Airport Development Company (MADC) within MIHAN-Special Economic Zone (SEZ) and brazen act of the builder to sell flats to general public, has raised a serious question mark over legal permissibility of the entire act. The very action of MADC to allot to a builder the agricultural land acquired from farmers for peanuts, and subsequently to allow the builder to sell the same to general public at market rate and earn mind-boggling profit, is nothing but a massive abuse of public property for the benefit of private few, apparently with the blessings of MADC top bosses, who are now maintaining a conspicuous silence.
M/s Reatox Builders bagged 31 acres of land for Rs 72 lakh per acre when a nearby land owned by the Patel family fetched a whopping Rs 2.55 crore per acre in one of the most expensive land deals in the region. If that is a market bench-mark, then the MADC could have earned close to Rs 75 crore from promoters of ‘FirstCity’ project. Instead, the Government company received only Rs 22 crore. Who is responsible for this loss of Rs 53 crore? Several social workers of repute have alleged that MADC Vice-Chairman and Managing Director R C Sinha needs to come clean on this issue, since he has been the virtual face of MADC and MIHAN-SEZ all along.
The land was acquired from protesting farmers who were offered a pittance for Meghdoot project of CIDCO and later handed over to MADC with an intention to create integrated MIHAN-SEZ. However, to the shock of everybody, the land was offered to realty majors who, in turn, are allowed to encash the current realty boom on land offered to them at a highly subsidised price and in many cases without inviting tenders. Several organisations fighting against such acquisitions have charged MADC with arbitrariness and lack of transparency and undue favours to a select few with the blessings of MADC top brass and their powerful mentors.
MADC had permitted M/s Reatox to consume 2.5 FSI for ‘FirstCity’ project within the SEZ to construct houses for “persons directly connected with SEZ.” M/s Reatox Builders had planned 18-storeyed towers, but the Airports Authority of India (AAI) curtailed the height since it was in aircraft landing funnel area.
Ostensibly to compensate for this loss of five floors in each of the proposed twelve towers, the MADC then showed utmost generosity towards M/s Reatox and awarded an additional tract of 10 acres of land free of cost. Going by the then prevailing market rate on Wardha Road, this land was worth Rs 25 crore. This land was given to the builder (co-developer) in lieu of the AAI curtailment of the tower-height.
Was there any clause to such effect in the MADC-Reatox agreement, and what is legal sanction to such an agreement? -- is the main question.
Sources claim that the MADC Board of Directors had permitted 2.5 FSI to the developers and it was the responsibility of the builder to construct its building within permissible parameters. If the AAI directive has forced an alteration in the original building plans, it was obvious that the builders had not adhered to the parameters. In such a case, how does the MADC find itself responsible for that lapse, so much so as to offer the builder an additional tract of land free of cost? Was this done for reasons of someone’s hidden agenda?
Apparently, the collusion between MADC and promoters of ‘FirstCity’ is crystal clear as the Special Purpose Vehicle appeared to have bent the rules and looked elsewhere to allow illegal action of builder in selling flats to general public. What is legal sanction behind this bail-out of ‘FirstCity’ when the BoA clearly states that the approval to the project is absolutely restricted to selling the property only to people employed in various units that would be coming in SEZ?
If the land was to be used to house workers/officers and others working in SEZ units, the subsidised land rate could have been justified. But violating the original permission granted by Board of Approvals (BoA) and MADC’s own affidavit before the High Court, the builder is openly selling these flats to general public as per prevailing market rate and in the process earning huge profit at public cost-since MADC had spend huge public money to create basic infrastructure within SEZ and the builder is not required to spend a single penny from his pocket on this count.
Interestingly, ‘FirstCity’ promoters always maintained that flats are meant for general public, clearly suppressing that they had a mandate to construct housing facilities for employees working within SEZ. This wilful breach of condition and regulatory permissions naturally has civil and criminal consequences and the MADC and M/s Reatox Builder may have to face the music.
The expose by ‘The Hitavada’ has put the developer - MADC - and co-developer - M/s Reatox Builders - in a tight spot. Unable to justify the brazen violation of SEZ Act/rules and open sale to general public, the builder issued misleading statements explaining nothing. However, the non-denial seems aimed at skirting the main issue as to how subsidised land offered for housing projects exclusively for SEZ employees can be sold to outside public ignoring BoA directive. Incidentally the MADC, too, has adopted a very ambigious stance claiming that project was approved by BoA - a fact nobody has questioned.
But this has raised a disturbing question about conduct of the MADC and its nexus with builders about misusing subsidised land for profiteering.
The multi-modal international hub airport at Nagpur (Mihan) dragging its feet for the last couple years after being hit by economic slow-down now faces a new challenge.
DelhiMumbai Industrial Corridor (DMIC) being planned by the central government in consonance with the state government looks set to corner fresh investment coming to the state starving Mihan which is yet to see any big player coming in the manufacturing sector.
The DMIC project is being planned to come up parallel to the proposed Dedicated Freight Corridor being set up by the Indian Railways.
Accounting for the third largest share of DMIC project area-wise, Maharashtra has put in place an enabling policy framework with an aim to strategically capture the spillover growth from Mumbai into other areas that fall under this 1,500 km long, 300 km wide belt as part of DMIC.
Under the chairmanship of chief secretary, a highpower committee has been constituted by chief ministerAshok Chavan to facilitate inter-departmental coordination and fast-tracking of approvals. Maharashtra Industrial Development Corporation (MIDC) has been appointed as the nodal agency for DMIC-related development.
The DMIC project-districts in Maharashtra have been divided into two key Economic Influence Zone viz; Nashik-Sinnar-Igatpuri Investment Region (NSIIR) and the Dighi Port Industrial Area.
There are various industrial and mega industrial park projects being implemented under each of the two zones. Work on developing Dighi port in Raigad district as a new gateway connected by high-speed rail service, modern roads and highways has been going on for the last two years.
A multi-modal logistics park at Karla is proposed to accommodate increased traffic freight volumes, movement and connections and bring in a multiplier effect. MIDC is acquiring 70,000 hectares of land to accommodate these DMIC initiatives.
Steps are also being put in place to ensure water allocations and superior road and rail connections to and from every DMIC hub. "It sure will be a setback for Mihan and making it further difficult to attract investment from manufacturing sector. Till now only IT sector which does not have any cargo has shown interest in Mihan. With more competition within the state and from politically influential area, Mihan will no doubt suffer," said Confederation of Indian Industries (CII) Vidarbha zonal committee chairman Shivkumar Rao.
He said even the state will face a stiff completion in attracting investment as Gujarat will be the biggest beneficiary of the industrial corridor project as 38% area will be in that state.
City MPVilas Muttemwar agreed: "Mihan may find it hard to cope with fresh competition in attracting investment. More so if powers that be continue to ignore Vidarbha. The delay has already hit the project beyond repair."
However, RC Sinha, vice-chairman-cum-managing director of Maharashtra Airport Development Company (MADC) which is developing the project, is optimistic. He said both projects are different and Mihan will always have an edge due to the air-connectivity it provides.
"Moreover, it has an SEZ which invites investments from export oriented firms. So such firms will still be attracted towards the SEZ where they can get tax exemption too," said Sinha.
Fact Finding Committee Report on the problems of the Farmers affected by the 'MIHAN PROJECT' area NAGPUR. http://mihanaffectedfarmers.com/ This populated village is in corporation limit from 1952.The MIHAN'S second runway is planned in this village.The People in this village are justified in their agitation and refusal to corporate with the Government as they are boeing unjustly paid a lower price for their agriculture and or residential land.The proposal being awarded to these villagers is Rs 2 to 3 lakhs per acre and rehabilitation as against the current market rate of more than rupees 1 crore per acre. The fact of the rate of one crore as being claimed by the villagers can be confirmed with the sale deed struck 2 months ago, which was registered with the Revenue of Registrar Department, the sale deed by a Hon. High Court Judge J.N.Patel who sold his family property at a price of Rs. 2.5 crore per acre, the applicable stamp duty for the same was paid with the Revenue of Registrar Department. The said deed is for a land 2kms opposite Shivangaon. This deal is being quoted by various villagers as a benchmark for evaluation.
This low price being offered to the villagers is witnessing a wide spread agitation with hunger strikes, ladies shaving their head(an act done by ladies only in dire condition when they loose their husband) & even an incident of a man commiting suicide
NAGPUR: M/s Reatox Builders and Developers, coming up with First City residential project in Mihan-special economic zone, has said it had been authorized to lease the residential units also to persons from outside the SEZ area.
Reatox's managing director Atul Shirodkar on Tuesday revealed to media a letter from Maharashtra Airport Development Company (MADC), the SEZ's developer to support his claim. The letter said the company could lease flats in First City to general public/persons outside SEZ area from anywhere around the world. The flats were freely transferable by existing parties to third parties without any fees being charged by Reatox Builders. The MADC letter further said no ground rent was applicable to any lessee.
Shirodkar showed a letter from the Union ministry of commerce that approved the list of goods and services in the project. The letter, he said, was a certification of tax exemption for the material and other services utilized in the project. "An approval for exemption itself shows that the ministry has given its nod to the project," he claimed.
He added that the firm had to pay 80 lakh an acre for the additional 12 acres of land earlier demanded as compensation for reducing the number of floors in the buildings from 18 to 13 following objections by the Airports Authority of India (AAI). "Even though we had demanded land for free we have been charged 80 lakh an acre," he said.
==================================
MADC’s affidavit before HC
“OUT of the area that is being utilised for establishing Special Economic Zone, an area admeasuring 31 acres of land is being developed by M/s Reatox Builder and Developers, under power of attorney executed by the ...respondent no 1 (MADC) for construction of residential complex to accommodate employees/officers working in Special Economic Zone.” This is what the Maharashtra Airport Development Company (MADC) had told Nagpur bench of Bombay High Court on an affidavit, duly sworn by a senior officer of MADC in 2008, which is now being violated.
The affidavit was filed by MADC in response to a petition filed by M/s Suretech Hospital questioning the motive of MADC to acquire its land at Mouza Chinchbhuvan for rehabilitation of project-affected persons of MIHAN. Incidentally, the rehabilitation work over 58 hectare land, too, has been entrusted to M/s Reatox Builders- the firm which is coming up with ‘First City’ project in MIHAN-SEZ area.
Fate of MIHAN project rests on Nagpur Airport
Poonam Singhhttp://www.projectsmonitor.com/detailnews.asp?newsid=10275
The Multimodal International Hub Airport at Nagpur (MIHAN) project is facing a crisis as the Centre is yet to decide on the transfer of all assets of Nagpur Airport under AAI to the Maharashtra government. The project is being developed by Maharashtra Airport Development Corporation of which Chief Minister Vilasrao Deshmukh is the chairman. The project includes an SEZ, a captive power plant, a health city, road and rail terminals, an international school, and a residential area on 3,600 hectares of land. Some 50-60 hectares is being acquired daily and consultants have been appointed for the various project components.
The Maharashtra government, while waiving stamp duty for Mumbai Airport project, has asked the Centre to transfer Nagpur Airport to the state for a token amount as the former has an ambitious development project for Nagpur Airport. The project envisages large investments from international companies. The Centre plans to resolve the issue through inter-governmental, inter-ministerial and intra-ministerial consultations.
MADC will upgrade the length of the Nagpur Airport runway from 3,200 to 4,000 metre and the capacity of terminal building from 400 passengers to 1,200-1,500 passengers. The company is also planning to provide space to airline operators for maintenance, refurbishment and overhauling purposes.
Says R.C. Sinha, VC & MD, MADC, "Major international clients are planning to visit Nagpur, so if the airport is not upgraded the MIHAN project will loose its marketability." The company hopes to attract investments from major players to further fund the Rs 2,500 crore MIHAN project. Until now MADC has raised Rs 400 crore for initial development.
