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Rediff.com  » Business » NICE project: Karnataka govt moves SC

NICE project: Karnataka govt moves SC

September 20, 2006 15:29 IST

The Karnataka government has moved the Supreme Court against non-compliance of its orders by Nandi Infrastructure Corridor Enterprises.

The latter, entrusted with executing the Bangalore-Mysore Infrastrctural Corridor Project,  'manipulated' government records to illegally acquire ownership of land aggregating to 22,897 acres worth Rs 30,000 crores (Rs 300 billion).

NICE had moved the apex court against setting up of a commission of inquiry into the project by the JD (S)-BJP government, led by Chief Minister H D Kumaraswamy.

Karnataka government constituted one man commission of inquiry headed by a retired high court judge Justice B C Patel (retd) into the "irregularities, illegalities and impermissible deviations" in the BMIC Project.

Karnataka high court had directed the state government to execute the project as conceived originally and upheld by the Supreme Court in Somashekhar Reddy's case and implement the Frame Work Agreement in letter and spirit.

The state government quoted a report prepared by the UTI Bank, which said NICE was going to develop 3,633 acres of land for real estate purposes which was contrary to the terms and agreements.

"This report is a clear indicator that the applicant is trying to carry out a real estate venture contrary to the interests of the state and its people and contrary to the Frame Work Agreement", it said.

The agreement dated October 14, 1998 for acquisition of private land has been entered on the basis that the entire 7,000 acres land meant for the toll road will revert back to the government, it said.

"The whole attempt of the petitioners is to smother and scuttle any inquiry into wrong doings and prevent the correct facts from coming out", the state government said in its reply to the NICE petition.

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