This Article is From Dec 07, 2011

Punjab government gives away land at low prices; industrialists allege foul play

Chandigarh: The Akali Dal-BJP government in Punjab has some explaining to do about the allotment of industrial plots in the state. Some industrialists have alleged foul play in the allotment of over 70 industrial plots worth hundreds of crores through a government scheme. The plots have been given away at unusually low prices in a non-transparent manner, the industrialists alleged.

NDTV has exclusive documents which show that more than 74 industrial plots were distributed in a scheme called the Off-The-Shelf scheme. Industrialists claim that the scheme was not advertised and that there was no auction. Some even allege a scam, worth hundreds of crores.

"There is no transparency in Off-the-Shelf scheme. Public doesn't have a clue about it. There is nothing in the newspapers in the form of advertisements; there is no notification. It's all under the table; get the money and get the plot," alleged TR Mishra, an industrialist from Ludhiana.

The Akali government in Punjab, reportedly, allotted plots at Rs. 400 per square yard at Tanda Industrial area. In Ludhiana, land was allotted at just Rs. 1000 per square yard. The market-rate in Ludhiana is over Rs. 40,000 per sq yard.

But the biggest loss to the state exchequer was allegedly in Mohali, where plots were distributed at just Rs. 2700 per sq yard. It has been alleged that land worth crores of rupees was given away for a few lakhs. However, nothing has come up on the plots in Mohali which were given away three years ago.

Some industrialists allege that the plots were not given for industries, but with an aim to make profits later.

"They don't have any criteria. It was just their discretionary power which they used and net effect is - it has been four years and there is no development here and obviously, the government has lost huge revenue as they just sold off," said Nikhil Saraf, President, Mohali Industry and Commerce Association.

But the state Industries Minister said that there was nothing wrong in the policy.

"There is one scheme in it. People who are in hurry get these plots if they pay more and it's on merit. So far we haven't done anything in it.....Government first fixes rates and then people apply. There are two categories - one in which there are draws and other where meritorious people who can afford to pay more get these plots," said Industries Minister Tikshan Sud.
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