BENGALURU: In yet another instance that has triggered questions over government expenditure on external legal services, the Krishna Bhagya Jala Nigam Limited (KBJNL) has appointed a private law firm as legal consultant at Rs 7.2 crore, despite the state having a substantial in-house legal team, including an Advocate-General and 21 Additional Advocate-Generals.
An official order said KBJNL has engaged advocates on retainer basis to monitor and supervise all court cases related to land acquisition under the Upper Krishna Project (UKP-III). The consultancy fee has been fixed at Rs 30 lakh per month for a period of two years, amounting to Rs 7.2 crore. The appointment follows a proposal submitted by the law firm on October 10, 2025, and is in accordance with a government circular dated April 19, 2024.
The order states that KBJNL is currently facing over 25,000 pending land acquisition cases across civil courts at the district level, benches of the Karnataka High Court and other judicial forums.
These cases are expected to result in “huge additional financial liability” for the Nigam. The government order notes that the consultancy has been approved in the “interest of the government and corporation” to ensure effective management and close monitoring of this large volume of litigation.
Under the terms of appointment, the firm will deploy a team comprising one chief legal officer, two deputy chief legal officers and seven district legal heads.
The retainership fee covers consultations, legal opinions, vetting of documents, salaries of staff and other miscellaneous expenses. However, the consultancy does not include court appearances. Separate expenditure will have to be incurred for engaging senior counsels and advocates to argue cases before various courts, raising further questions about duplication of legal work.
The scope of work entrusted to the firm includes monitoring land acquisition cases before the Supreme Court, high courts, district courts and tribunals; overseeing the performance and court appearances of KBJNL advocates; guiding preparation of pleadings and evidence; providing legal opinions; maintaining digital records of cases; and submitting monthly and quarterly status reports to the KBJNL Managing Director.
The appointment is initially for two years and is subject to review. The Nigam has retained the right to terminate the contract if performance is found unsatisfactory.
The arrangement may be extended annually with mutual consent. The decision has drawn criticism in bureaucratic and legal circles, with observers questioning the rationale behind hiring an expensive external consultant when the Nigam already has its own law officers and the State has a full-fledged Advocate-General’s office to handle complex litigation.