<p>Akin to Vyalikaval House Building Co-operative Society (VHBCS) selling prime property meant for its members to Vaishnavi Developers, another society - National Technological Institutions Housing Co-operative Society Limited (NTI HBCS) - has sold vast area of land allotted by BDA in Dollar’s Colony to LK Trust with Hari Khoday as one of the trustees.<br /><br />LK Trust, in turn, has sold the property to Pebble Bay Developers Private Limited owned by Vijay Raheja for a super normal profit, just an year after the execution of the sale deed by the said society. <br /><br />According to documents available with Deccan Herald, LK Trust got the land for Rs 5,64,12,580 on January 1, 2006 and sold it for Rs 140 crore on January 1, 2007.<br />Speaking to Deccan Herald, Khoday said: “We have done everything legally. We got the land from the bank that the society owed money to.”<br /><br />Vijay Singh, a former president of NTI HBCS, said: “The bank was in the process of attaching our land in Sahakarnagar, which was already allotted to members. So in a bid to avoid attachment of that land, we decided to dispose of this land where there were no allocations made, to repay the loan”.<br /><br />Purchase of the property <br /><br />The Bangalore Development Authority (BDA) had allotted 19 acres 32 gunta through two transfer deeds dated November 23, 1988 and December 7, 1988 to NTI HBCS.<br /><br />The transfer deeds state that the land was transferred to the society on the request of C V L Shastry, who was the representative of the land holders and also an agreement holder with the NTI Society for acquisition of land for the Society.<br /><br />The money to obtain the land was sourced from several members who were aspirants for sites. <br /><br />The Society, depriving the aspirants of the sites, has sold 11 acres 20 guntas to L K Trust for a throwaway price on the pretext of settling the dues it owed to the Bangalore District and Bangalore Rural District Central Co-operative Bank Limited (BD&BRDCC Bank) – the same modus operadi as Vyalikaval.<br /><br />Tripartite pact<br /><br />The Society had borrowed Rs 1,92,93,000 from BD and BRDCC Bank and defaulted. <br />In order to repay the same along with the interest, as claimed by the Society, a tripartite agreement (March 31, 2001) was signed between the said bank, the Society and Hari Khoday (LK Trust), which required the Trust to pay Rs 3,23,00,000 to the bank in instalments and Rs one crore to NTIHBCS.<br /><br />Khata transfer<br /><br />On August 27, 2005, the khata was transferred in the name of LK Trust and the total sale consideration was Rs 5,64,12,580 even as the guidance value was Rs 25.13 crore. <br /><br />The Trust paid Rs 3,23,00,000 and an interest amount of Rs 31,04,316 to the bank, apart from paying NTI Rs one crore, in addition to Rs 1,10,08,264 it had paid in 1990.<br />The aforementioned transaction had the permission of the Co-operation department, when D K Shivakumar was the Minister for Co-operation in the S M Krishna’s Cabinet.<br /><br />LK Trust came into the picture as the Society had, on March 15, 1990, entered into an agreement with the Trust for the construction of apartments for the members and the Trust had paid Rs 1,10,08,264 towards the cost of transfer of undivided interest. But subsequently, the Trust filed a suit (OS no: 400/97) against the Society, but later compromised with a decree passed in favour of LK Trust in the City Civil Court on May 17, 2002.</p>
<p>Akin to Vyalikaval House Building Co-operative Society (VHBCS) selling prime property meant for its members to Vaishnavi Developers, another society - National Technological Institutions Housing Co-operative Society Limited (NTI HBCS) - has sold vast area of land allotted by BDA in Dollar’s Colony to LK Trust with Hari Khoday as one of the trustees.<br /><br />LK Trust, in turn, has sold the property to Pebble Bay Developers Private Limited owned by Vijay Raheja for a super normal profit, just an year after the execution of the sale deed by the said society. <br /><br />According to documents available with Deccan Herald, LK Trust got the land for Rs 5,64,12,580 on January 1, 2006 and sold it for Rs 140 crore on January 1, 2007.<br />Speaking to Deccan Herald, Khoday said: “We have done everything legally. We got the land from the bank that the society owed money to.”<br /><br />Vijay Singh, a former president of NTI HBCS, said: “The bank was in the process of attaching our land in Sahakarnagar, which was already allotted to members. So in a bid to avoid attachment of that land, we decided to dispose of this land where there were no allocations made, to repay the loan”.<br /><br />Purchase of the property <br /><br />The Bangalore Development Authority (BDA) had allotted 19 acres 32 gunta through two transfer deeds dated November 23, 1988 and December 7, 1988 to NTI HBCS.<br /><br />The transfer deeds state that the land was transferred to the society on the request of C V L Shastry, who was the representative of the land holders and also an agreement holder with the NTI Society for acquisition of land for the Society.<br /><br />The money to obtain the land was sourced from several members who were aspirants for sites. <br /><br />The Society, depriving the aspirants of the sites, has sold 11 acres 20 guntas to L K Trust for a throwaway price on the pretext of settling the dues it owed to the Bangalore District and Bangalore Rural District Central Co-operative Bank Limited (BD&BRDCC Bank) – the same modus operadi as Vyalikaval.<br /><br />Tripartite pact<br /><br />The Society had borrowed Rs 1,92,93,000 from BD and BRDCC Bank and defaulted. <br />In order to repay the same along with the interest, as claimed by the Society, a tripartite agreement (March 31, 2001) was signed between the said bank, the Society and Hari Khoday (LK Trust), which required the Trust to pay Rs 3,23,00,000 to the bank in instalments and Rs one crore to NTIHBCS.<br /><br />Khata transfer<br /><br />On August 27, 2005, the khata was transferred in the name of LK Trust and the total sale consideration was Rs 5,64,12,580 even as the guidance value was Rs 25.13 crore. <br /><br />The Trust paid Rs 3,23,00,000 and an interest amount of Rs 31,04,316 to the bank, apart from paying NTI Rs one crore, in addition to Rs 1,10,08,264 it had paid in 1990.<br />The aforementioned transaction had the permission of the Co-operation department, when D K Shivakumar was the Minister for Co-operation in the S M Krishna’s Cabinet.<br /><br />LK Trust came into the picture as the Society had, on March 15, 1990, entered into an agreement with the Trust for the construction of apartments for the members and the Trust had paid Rs 1,10,08,264 towards the cost of transfer of undivided interest. But subsequently, the Trust filed a suit (OS no: 400/97) against the Society, but later compromised with a decree passed in favour of LK Trust in the City Civil Court on May 17, 2002.</p>
