MUMBAI: Eight years after being scalded by allegations of graft in the Telgi case, Maharashtra PWD minister and senior Nationalist Congress Party (NCP) leader Chhagan Bhujbal has again found himself in trouble over multi-crore corporate donations to his foundation. Between February 2010 and January 2011, Bhujbal Public Welfare Foundation received Rs 2.45 crore in two instalments by Indiabulls.
What has spooked everybody is the clear conflict of interest, as Indiabulls, the realty and construction firm, has been awarded projects by Bhujbal’s PWD ministry. One such project is currently underway at Mumbai.
In 1986, the Mumbai University had transferred four acres of land at its Kalina campus to the state government, with the purpose of constructing a central library. In 2009, the PWD, under Bhujbal, issued a tender for constructing the library on two acres, utilising remaining area for construction of residential apartments. In July 2009, Indiabulls was awarded the contract, as per which, it would build a 23,438 sq m, six-storeyed library at the estimated cost of Rs 300 crore, and hand it over to the university. The two acres of prime plot that has been leased to Indiabulls for 99 years is valued at Rs 500 crore at present market value.
The first transfer of money from the Indiabulls account in HDFC Bank, Mumbai, to Bhujbal Public Welfare Foundation’s (BPWF) account in Saraswat Bank at Nashik, occurred on February 17, 2010, and amounted to Rs 98 lakh. The second transfer, of Rs 1.47 crore was made on January 19, 2011, from Indiabulls’ Bank of India account in Delhi to BPWF’s account at Nashik.
Bhujbal himself admitted that Indiabulls has donated Rs 2.45 crore to BPWF, based in Nashik, from where his son, nephew and he himself have got elected.
In a statement, Bhujbal said that all donations were above board, and the funds were to be utilised for the Nashik Festival which his NGO coordinates. He stated it would be wrong to link the donations to ongoing projects allotted to the private firm.
However, the Opposition is smelling a rat. Said Shiv Sena spokesperson Neelam Gorhe: “Our senior party leader Manohar Joshi has already put forth our party stand, that trusts run by ministers should not accept corporate donations. It is not ethical.” Incidentally, B S Yeddyurappa had to relequish his chief minsiter’s chair, after the Karnataka Lokayukta indicted him on similar charges.
Bhujbal is no stranger to controversy, as he had to give up his responsibilities as Maharashtra’s home minister, as well as the post of the Deputy Chief Minister in 2003, though the allegations of his involvement in the fake stamp scam were never substantiated.