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Urban bodies bend rules for CM kin

CMs son got land meant for residential purpose to build a star hotel
Last Updated 02 December 2010, 18:55 IST

While the Shimoga Urban Development Authority has approved a proposal from B Y Raghavendra, the Parliamentarian son of Yeddyurappa, for the construction of a star hotel on land reserved for residential and civic amenities near Malligenahalli on the city outskirts, the City Municipal Council has turned a blind eye to evasion of tax and fee by Akarsh Properties, in which Yeddyurappa’s son-in-law R N Sohan Kumar has a stake.

Akarsh Properties is also constructing a star hotel in the heart of the city.
The firm had obtained approval from the CMC to construct a multi-storey building measuring 40,000 square feet.

But in the self-assessment tax declaration, the measurement has been mentioned as 1,12,453 square feet. The intention to evade fee while seeking sanction for the construction of an additional 72,453 square feet is clear here.

The building construction began in 2007, but sanction was obtained only on May 26, 2010, documents available with this newspaper show. The construction work went on for more than three years without official approval.

When the issue came up for discussion at the CMC meeting on Thursday, Commissioner Jayanna clarified that permission had been granted before the commencement of construction and approval was sought only for the modified plan on May 26.

Councillor K B Prasanna Kumar told Deccan Herald that nowhere in the permission letter, the reference on plan modification could be found.

Even if the Commissioner is to be believed, there is still a lacuna in the modified plan where false information was provided regarding the actual size of the building, Kumar said.

Trade licence

According to columns 256 to 260 of the Karnataka Municipal Act 1964, trade licence can be issued only after the completion of the construction of a building, spot inspection by officials and fixing of revenue.

Trade licence has been issued for starting a lodge, a vegetarian hotel and a bar and restaurant, even before completion of construction.

The CMC has issued building permission without verifying the no-objection certificate of the Fire and Emergency Services Department. The trade licence has been issued for Akarsh Properties, while other commercial establishments in the City - which applied for the same long ago - are eagerly waiting for a licence.

Kumar said the CMC has been deprived of lakhs of rupees while issuing trade licence, as half-yearly tax was assessed in a haste for a building which is yet to be completed.

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(Published 02 December 2010, 18:55 IST)

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