VIJAYAWADA: The Andhra Pradesh High Court ruled that the allotment of 21.74 acres to Tata Consultancy Services (TCS) for an IT campus will be subject to final judgment.
The bench, led by Chief Justice Dhiraj Singh Thakur and Justice Cheemalapati Ravi, asked the State government to justify leasing the land for 99 years at just 99 paise and to file a counter-affidavit.
The matter was deferred to August 27.
Challenging GO 7, the Society for Protection of Civil Property and Environmental Rights, filed a PIL seeking cancellation of the Rs 529 crore worth land allotment to TCS, arguing it was leased at an unjustifiably low rate. Petitioner’s counsel, Jada Shravan Kumar, contended the method violated legal norms.
He flagged concerns over the lease resembling a sale, with no provision for recovery. He noted the land’s high market value due to its prime location in Visakhapatnam. Taking employment prospects into account, the bench stated such allotments could be justified if they promote jobs.
Government counsel informed the court it could generate around 12,000 jobs. The court asked the government to clarify the legal ambiguity between lease and sale.