Tuesday, June 13, 2006

CM no longer in a NICE mood

CM no longer in a NICE mood
Claims BMIC Promoters Who Tried To Buy Him Are Tarnishing His Image
The Times of India

Bangalore: Throwing a challenge to BMIC promoters Nandi Infrastructure Corridor Enterprise (NICE) for a public debate to end “misinformation and a 11-year-long hell,” chief minister H D Kumaraswamy on Monday accused the company of trying to “buy him”.

“The company tried through a minister in the previous government and through a journalist to buy me. But I cannot be bought.” Alleging that NICE was using the media to tarnish the government’s image, he said: “If the company seriously wants to take up road works, we are willing to discuss it. But misinformation is being spread that I have some hatred towards the project. This has to stop.”

Responding to the challenge, NICE managing director Ashok Kheny told TOI: “The court has said the case is politically motivated for personal interest. If they want to repeat their case I don’t want to comment.”

Kumaraswamy said the law department would decide on whether the state should file a review petition or bring in a law on the ‘excess’ land.

Singh demands CBI probe:
Opposition leader N Dharam Singh on Monday demanded a CBI inquiry into the BMIC project, following TOI reports that the CM owned land in Bidadi hobli. “Since the beginning, we had doubts about JD(S) chief Deve Gowda and Kumaraswamy’s attitude towards the project. Now everybody knows why it was so.” Clarifying his position the CM taunted the Congress: “For minor issues they demand a CBI probe, why not for this?”

NICE writes out demands to CM

Bangalore: Setting a week’s deadline for the state to expedite the BMIC project, promoter NICE on Monday held out the threat of legal action if this is not done.

In a 28-page letter addressed to the CM, copies of which was released to the media, Ashok Kheny outlined nine points which had to be addressed by the CM immediately, including release of land. “We request you to do so forthwith within a week, following which it would be consructed that Karnataka has willfully failed to follow directions passed by the SC and HC. We would be left with no alternative but take appropriate steps as may be available to us by law.”

Some of the points raised by Kheny:
l Immediately convene a meeting of the empowered committee headed by
the chief secretary to oversee the project as per the framework agreement.
l Hand over balance of 2,568 acres of private land for which final notification has been issued (only 1,035 acres have been handed over).
l Issue final notification for centre patches of private land totalling 49 acres that are holding up the road.
l Issue final notifications for acquisition of balance land out of the 20,193 acres required for the project.
l Take physical possession of all lands for which final notification has been issued and transfer it to NICE.
l Remove all unauthorised stretches of land notified for the project being held by private parties.
l No further land notified for the project should be transferred out or registered to others.

THE TUG-OF-WAR
CM: NICE tried to buy me.
Kheny: The government alleged fraud and mala fide intent against us. The high court and Supreme Court cleared us. Let the public decide the truth.

CM: I challenge them to an open debate on the project.
Kheny: I see no need for it. Next, will he want to hold a dog fight to decide the issue? It has been debated in the highest court of law and a decision has been given.

CM: Former senior bureaucrats are working as NICE slaves.
Kheny: The government has been punished for falsely alleging this in the HC and SC, with a Rs 5 lakh fine.

CM: They are out to ruin the state’s name by spreading false information.
Kheny: Nobody ruins anyone’s name. You reap what you sow.

CM: They are trying to run a parallel government.
Kheny: That’s rubbish. We are just following the law. If he expects us to break the law for his convenience, we will not.

CM: Connection of peripheral road to existing roads is not part of the framework agreement.
Kheny: Go through the agreement again.

CM: Is it not possible for them to take out a JCB and dig the peripheral road themselves? Farmers don’t own JCBs!
Kheny: If he believes that, I can sell him the Brooklyn Bridge for one dollar. Miscreants misusing the name of farmers for personal gain is a sin. As home minister he should stop them and let us go ahead with the road.

CM: For a road worth Rs 1,000 crore maximum, they, a Rs 70 company, want to grab land worth Rs 50,000 crore.
Kheny: His officers are spreading lies and misrepresenting facts. Bangalore Metro was set up with Rs 70, Infosys started with Rs 40, because that is the law. It is like opening a passbook, after which money is into the account. His advisors should go back to school before making the CM embarrass himself. Total land for the project is 20,193 acres, 6,999 is the road, out of the 13,000-odd left, half is for public buildings. We are left with 6,500 acres — so according to his maths, each acre, be it Maddur or Ramanagaram, should fetch Rs 10 crore each?

CM: Let them announce what they want to do with the vacant land.
Kheny: What “excess” land? SC says there is no excess land.

1 Comments:

At Tuesday, June 13, 2006 at 4:46:00 PM GMT+5:30, Anonymous Anonymous said...

Inspite of the BMIC issue politicised in the newspapers, there's no Clarity on why should NICE requires 29,000 Acres, which is quite a large chunk of land and that too in areas which has high potential for real estate development.

I would like to highlight the facts of the project:

Land required for the Roads is only 3,374 Acres, as detailed below

1. Express way : 2,469 Acres
(111 Kilometers of BMIC express way @ 90 metre wide as per NICE website)

2. Peripheral Ring Road : 760 Acres
(41 Kilometers of @ 75 metre wide as per NICE website)

3. Link Road : 145 Acres
(9.8 Kilometers of @ 60 metre wide as per NICE website)

Prima Facie, it's clear that the balance 25,626 Acres (29000 Acres less 3374 Acres) is available for Real Estate Development, which even if it fetches 1 - 1.5 Crores/Acre at prevailing market rates (it would fetch much more once the express way and roads come up and once IT, ITES and other Companies establish their operations), would work out to Rs 25,000 - 38,000 Crores. All these lands are procured at very cheap rates of Rs 5 lakhs or so from poor farmers along these roads.

It’s also shocking to find that NICE is the only Organization which had bid for this BMIC project(as per NICE website), when it’s so attractive for any Private Operator to do the Project in the present context. The project has been awarded to NICE on MOU Basis, detrimental to the State Exchequer. Government should invite Fresh International Competitive Bidding for the project, with the Cost of Road project compensated through land along the corridor at the real estate market rates after the completion of the project. This would require much less land to compensate the private operator, while most portions of the land would be with the State Government for Township formation.

BMIC project, in its present form, is nothing but exploiting the poor farmers by Rich Industrialists. State Government has every right to protect the Public Interest and Public Money and the Poor farmers through appropriate legislation, especially in the present changed scenario of real estate boom in and around Bangalore & Mysore.


BMIC Project details should be first uploaded onto NICE website (Detailed Project Report and other details of the Project) and put for public debate, opinion and comments with all details of the project including Detailed Project Report, Cost of laying the roads, land acquired for the Project etc by NICE and State Government, as prima facie it is clear that NICE will have windfall cash through this project, as NICE has asked for 29,000 Acres of land, while the Road component requires only 3,374 Acres of land for Expressway, Link Roads & Peripheral Ring Road, leaving balance 25,626 Acres for Real Estate Development, which would be worth Rs 30,000 to 40,000 Crores once the express way and ring roads are functional.

This is at the cost of poor farmers who were owning these lands and from whom the lands have been acquired at paltry sums of Rs 2-5 lakhs per Acre. Present Compensation of 1 Plot of 30 x 40 is too meagre a compensation. Atleast 25-30% of land lost by the Poor farmers should be given to them in the Developed layout, after State Government taking over the Project.

State Government should simply reimburse the cost incurred by NICE to lay the roads so far either through cash or through handing over land at prevailing market rates on peripheral ring road and express way to the extent required, invite fresh International Competitive Bidding tenders for laying the balance express way and roads on same specifications on similar lines as Bangalore International Airport Project, form these townships through BDA/competent authority, allot 25-30% of land procured from each poor farmer (1 Acre of developed land for every 4 Acres of land procured from the Poor farmers) in the respective townships, allot land to the Companies, Educational Institutions, Hospitals, Commercial Establishments and General Public who don't have land in Bangalore and do good for the Society at large and protect the interests of Public at Large and Tax payers’ money.

 

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