All land, no work makes govt slap notices on 7 companies

VIJAYAWADA: Officials of the Tourism department slapped notices on seven companies which failed to initiate ground works after taking lands for developing tourism projects. Officials warned that unless there is a genuine cause for the delay, they will take back the lands.

It has become a practice for investors to take lands from government on the pretext of setting up industries and other projects, taking bank loans after pledging the documents of the lands and diverting money for other purposes instead of focusing on the original project.
Some of the investors who evinced interest to develop tourism projects have ignored the completion of works despite taking lands from the government.

For instance, the Visakhapatnam-based City of Destiny Club enterred a Memorandum of Understanding with government in 2011 got land in April, 2012. Though the firms were to commence operation within two years from the date of getting land, the City of Destiny Club failed to take up activity in the last five years in terms of recreation and amusement. There are also some more firms that are yet to commence works after taking valuable lands from the government.

Against this backdrop, officials of the tourism department have identified that out of the 17 projects taken up under Public Private Partnership mode, 7 projects have failed to start the projects within the stipulated time and have been served termination notices. Director of Tourism department Himanshu Shukla said that most of them were located in Visag and Vijayawada cities.Making it clear that delay in execution of projects would not be tolerated, Shukla said, “Genuine causes like delay in getting approval will be considered. But if there is no proper reason, then the lands will be taken away.” 

Delay after taking govt land

Tourism department acts tough against firms not commencing operations after taking valuable land from government in the name of development of tourism projects
Out of the 17 projects taken up under Public Private Partnership mode, officials issued termination notices to 7 firms for failing to meet the deadline
Government to cancel deal with five of the firms who have completely violated the agreement
Two of the projects, despite lagging behind to reach the goal, may get extension as the delay has been attributed to the delay in getting approval from municipal and fire department officials