VIJAYAWADA: In what could be seen as a shock to Amara Raja Group of Industries, the State government has issued orders permitting the Andhra Pradesh Industrial Infrastructure Corporation (APIIC) to take back 253.61 acres of unutilised land, out of the 483.27 acres allocated to Amara Raja Infratech (P) Ltd in Chittoor district. The industries department, which issued a Government Order giving permission to the APIIC to take back the land, cited that apart from not utilising the land for almost 10 years, the company has not fulfilled its promise to invest `2,100 crore with a potential employment generation of 20,000. “The actual employment achieved so far is only 4,310,’’ the GO read.
In 2010, the APIIC had allotted 483.27 acres of land (478.78 acres of DKT land and 4.56 acres of patta land) spread over Nunegundlapalli village of Bangarupalem mandal and Kothapally village of Yadamari mandal in Chittoor district to Amara Raja Infratech (P) Ltd on sale basis to take up activities pertaining to a Special Economic Zone (SEZ) and other developmental activities, including Digital World City. The agreement and land sale deed were made in favour of M/s Amara Raja Infratech Private Limited on November 1, 2010, and November 18, 2010, respectively.
As per the agreement, the company had to utilise the land for the purpose for which it is allotted within the specified time of two years from the date of agreement of sale and the company is bound to surrender the land, if the same is not required by the company for the purpose it is allotted. “Clause 9 (0) of agreement entitles the corporation to cancel the allotment in case of violation of agreement. The company also submitted an undertaking authorising the APIIC to take back the land if found vacant after the said date (two years),’’ the GO said. “It was noticed that no SEZ was developed in the allotted land till date and the company has utilised only 229.66 acres out of 483.27 acres.
Even after 10 years of agreement of sale, 253.61 acres of land is lying unutilised,’’ the GO said. Stating that the company has violated the terms and conditions and failed to fulfil the promised investment and employment criteria and held potential land, which is worth more than `60 crore, without utilising it, the government permitted the APIIC to take back the unutilised land of 253.61 acres. “Keeping the allotted public property idle and vacant is not only violation of the covenants of agreement of sale and sale deed but is also against public interest and defeats the very purpose of allotment, which is to promote development by creating investment and employment,’’ Special Chief Secretary (industries and commerce) R Karikal Valaven said in the GO.
Land allotment 2010: APIIC allotted 483.27 acres land in Nunegundlapalli and Kothapally villages in Chittoor district to Amara Raja Infratech (P) Ltd on sale basis to take up activities pertaining to SEZ and other developmental activities, including setting up of Digital World City
Naidu terms it political vendetta Taking exception to the government’s decision to take back a portion of the land allotted to Amara Raja Infra Tech, TDP supremo and Opposition Leader N Chandrababu Naidu has felt it is nothing, but political vendetta. In a statement issued on Tuesday, Naidu alleged that the YSRC government took the decision out of ire against TDP MP Galla Jayadev, whose family owns the company. The firm is providing employment to 16,000 and heading towards employing 20,000, he said
Botcha: It will be given to another industry To a query on the land issue from reporters, Minister Botcha Satyanarayana said, “When there is no development in the land even after the time given to the firm has elapsed, what should be done? Shouldn’t it be given to another firm so that people will get employment and industries keep coming in? The said land will be given to another industry”