SEZ land grabbed: PIL

The Madras High Court on Tuesday ordered notice to respondents in a Public Interest Litigation filed by a former Member of Parliament accusing the Mahindra World City Developers (MWCD) in Kanchee puram of illegally transferring land meant for creating a Special Economic Zone (SEZ) for purposes other than those stipulated.

The petitioner K Krishnamurthy, ex-MP from Mayiladuthurai, also prayed for cancellation of state support agreements with MWCD and recovery of `67.57 crore, the value of the land alleged to have been illegally transferred, and `96.84 lakh as stamp duty allegedly evaded during the transaction.

In his petition, Krishnamurthy said the TN governt, under the SEZ Act, had transferred land to the extent of 841 acres to MWCD, an associate company of the TIDCO, for the sole purpose of setting up an SEZ.

While this was so, an audit report of the Principal Accountant General (Economic and Revenue Sector Audit) for the period 2007-2012, had found several irregularities in the functioning of MWCD. This includes alleged illegal transfer of 242 acres of land meant for the SEZ to two co-developers.

One of the co-developers, Mahindra GESCO, allegedly completed construction of villas and semi-bungalows in 21.5 acres of land and permanently transferred them to individuals on ‘perpetual lease’ basis.