Corporator accuses Jain Hospital of 'violating lease agreement'

The Bhagwan Mahaveer Jain Hospital on Miller’s Road has come under criticism as the facility has allegedly come up on land given on lease by the Palike for charitable purposes.

R Prakash, JD-S floor leader in the BBMP Council, told a press conference on Tuesday that four acres and 20 guntas of land was given for charitable purpose to the hospital trust. But a five-star hospital had come up on the said land.

Violating the lease agreement, the hospital rented out a large portion of the Palike’s property to a canteen for Rs 85,000 per month and Punjab National Bank (PNB) for Rs 75,000 per month and many small shops, alleged Prakash. He said that a blood bank too had come up in the building.

“At the rate of Rs 100 per year, the Jain Hospital will only pay Rs 10,000 over 100 years. But, its annual income from the sub-leased properties is approximately Rs two lakh per month,” said Prakash.

To expand its business, the hospital has taken a loan of Rs three crore from PNB and sought the State government’s no-objection certificate for further construction activities.

Prakash said, “Without any building plan approvals, the hospital is constructing a huge building on Palike’s property, in violation of the Town Planning Act, Karnataka Municipal Corporation rules and the lease agreement.”

He asked BBMP Commissioner M Lakshminarayana why the Palike was not serious about mortgaging such buildings to overcome its financial crisis, instead of pledging historic buildings such as KR Market, Town Hall, Public Utility Building, Johnson Market and Russell Market.

“Jain Hospital is still Palike’s property and no one should object if it is mortgaged. There are more than 1,000 such properties which the Palike can pledge,” said Prakash.

When contacted, Lakshminarayana said he would look into the allegations about sub-leasing Palike’s property. Repeated attempts to contact the hospital management proved futile.

A hospital staffer told Deccan Herald that the lease agreement was signed way back in 1975, according to the then prevailing rates. He dismissed allegations that the lease agreement was violated.