Mr J C Madhuswamy (JD-U) launched a scathing attack on the Karnataka Industrial Areas Development Board (KIADB) charging that it was acting as a “trading agency” and transferring acquired land to vested interests through “fraudulent means”.
He charged in the State legislature on Thursday that the KIADB was issuing no-objection certificates to farmers to facilitate transfer of lands acquired for phase-2 and 3 of the BMIC. The land was being transferred to employees and relatives of NICE, the promoters of the project, he alleged. After the transfer of land, the new owner would sell the land at exorbitant prices.
The KIADB was deliberately delaying the process of issuing the final notification and payment of compensation, frustrating the original owner in transferring his land, he charged.
He said land acquired for industries was being used for housing purposes, for building community halls and commercial establishments. Mr G V Sriramareddy (CPM) said KIADB Secretary K Sridhar, who was suspended recently, had been made a scapegoat. The government order stated: “K Sridhar has been suspended pending departmental inquiry for his uncalled-for action to register KIADB acquired land around Bangalore City.”
He alleged that the government was punishing a junior level officer of agency for executing the sale deed and sparing top level officials who had ordered it.
“This is a big scandal involving many top officials”, he charged and claimed to have records to prove that the decision to execute the sale deeds had been taken at a high-level meeting chaired by the Principal Secretary, PWD.
Mr Jayaprakash Hegde (Ind) alleged irregularities by the KIADB in issuing preliminary notification for land acquisition and de-notification of lands.
In his reply, Mr Naidu said a departmental inquiry has already been ordered into the execution of sale deeds. He said government was thinking of amending the KIADB Act to plug loopholes. The Law Department and advocate general had opined that there was no specific law to bar alienation of land after preliminary notification.
However, recently, the officials had executed sale deed without bringing it to the government’s notice.  Mr Naidu said he would also consult Chief Minister H D Kumaraswamy on the feasibility of ordering a probe into the affairs of KIADB.