Mumbai:
Chhagan Bhujbal, a senior minister in the Maharashtra government, will be investigated for corruption.
The Anti-Corruption Bureau had sought permission from the Home Department for proceedings against Mr Bhujbal - a requirement for any action against a public servant.
Mr Bhujbal is the Public Works Department Minister and belongs to the Nationalist Congress Party or NCP, which governs Maharashtra in partnership with the Congress. The NCP is headed by Union Agriculture Minister Sharad Pawar. The Home Minister, RR Patil, also belongs to the NCP, and his assent was required for the case against Mr Bhujbal.
The case against Mr Bhujbal lies in Maharashtra Sadan, a guest house for state legislators and other representatives that was recently renovated in Delhi at a huge expense. The BJP in Maharashtra has alleged that Mr Bhujbal misused his official position to award contracts for the building to firms owned by his relatives.
The BJP alleges that the renovation of the guest house shot up from the original budget of Rs 52 crore to Rs. 152 crore. The 16,000 square metre plot was assigned to a contractor as part of a barter - in return for constructing this guest house at no cost, the builder would get development rights to land owned by the state in Mumbai. The government was not paying for this construction, but the benefit of the escalating costs was allegedly passed on to firms that were used as sub-contractors, and which were linked to Mr Bhujbal's family, according to the opposition.
Mr Bhujbal has conceded to NDTV that a firm called Ideen which has his daughters-in-law as directors, was hired to provide furniture for the guest house - "Not too big, he said," describing the contract, "it was for five-six crores." He denied any conflict of interest because the contract, he said, was not given by the government.