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Gujarat govt leased land to pvt company at throwaway price: GPP

Last Updated: Sunday, June 2, 2013 - 00:02

Ahmedabad: Keshubhai Patel-led Gujarat Parivartan Party (GPP) on Saturday accused the state government of causing a loss of Rs 1,195.20 crore to the exchequer by leasing land to a private company for Re one per sqft for 35 years for building a sports complex.

"The state government has allotted Abad dairy`s land for Re one per square foot on 35 years lease to the Mumbai-based SE Transstadia Private Ltd company, causing a loss of Rs 1,195.20 crore to the state exchequer," GPP general secretary Gordhan Zadaphia alleged while talking to reporters here.

Zadaphia further said that the information regarding this was provided in reply to a question under the Right to Information Act (RTI).

As per the RTI, the state Revenue Department had suggested higher price for the 35 year lease, which would have earned the state exchequer Rs 1,197.77 crore.

However, the company would now have to pay only Rs 2.57 crore.

"SE Transstadia Private Ltd Company was established in 2008. The state government signed an Memorandum of Understanding (MoU) with the company in the 2009 Vibrant Gujarat summit despite the organisation having an experience of only one year," Zadaphia alleged.

"Just as the state government bypassed laws in distributing land to other private companies allowing them to set up their plants, the state government overlooked the revenue department`s suggestions by giving away the land at Re one per sqft to the Mumbai-based private company, causing the state exchequer a loss of Rs 1,195 crore," he said.

He added that the party would take a legal action in this matter.

When contacted, state government spokesperson Nitin Patel refused to comment on GPP`s allegations.

Reacting to protests by farmers in Becharaji-Mandal Special Investment Region (SIR), Zadaphia, who was a former Minister of State for Home in the Modi government, said that the party would fight for the rights of farmers against the state, which is allotting land to those corporates, who are able to fund their elections.


First Published: Sunday, June 2, 2013 - 00:02

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