Erstwhile AP Committed Fraud in Old GMC Land Deal, TS Tells HC

Published: 12th April 2016 05:05 AM  |   Last Updated: 12th April 2016 05:05 AM   |  A+A-

HYDERABAD:  The Telangana government on Monday told the Hyderabad High Court that the authorities had committed a fraud in restoring a dead lease agreement in respect of 5.63 acre prime land situated in the premises of old Gandhi Medical College (GMC) in Basheerbagh area in March 2014 i.e. just two months before formation of Telangana State.

Erstwhile AP C.JPGIn 2012, the state cancelled the 2006 year lease deed following failure of the developer in turning the land into an urban entertainment centre consisting of multiplexes and shopping malls. The lease rental arrears too mounted to a whopping `25 crore. The bench comprising Acting CJ Dilip B Bhosale and Justice P Naveen Rao was dealing with two petitions filed complaining that due to the action and inaction on the part of state government, the exchequer is losing huge money.

Additional advocate general J Ramachandra Rao submitted that the special chief secretary of tourism of the erstwhile united AP state restored the lease in an unlawful manner at the instance of the then tourism minister. When the Chief minister of the state had resigned and the President’s rule was imposed, the said lease was restored and even the arrears of dues were waived and also the fresh lease rentals were fixed at 2006 rates, he pointed out and said that the present government has decided to take action on the concerned.

The counsel for the developer said that it is unfair to penalise the developer for the happenings. He defended the action of the authorities in adopting 2006 rate as the lease rental in 2014 also.

The bench posted the matter to Tuesday for further arguments and orders.


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