Corporator moves BMTF over sale of Divyashri Chambers

Yediyur Corporator N R Ramesh on Friday lodged a complaint with Bangalore Metropolitan Task Force (BMTF) against former Bangalore Mahanagara Palike administrator Dilip Rau, commissioner K Jayaraj and ministers in Karnataka government in 1995, accusing them of selling Palike-owned Divyashri Chambers at Langford Town for a song.

In his complaint, Ramesh said the BBMP building on a land measuring 91,160 sq ft at the posh Langford Town next to Hockey Stadium was sold for Rs 1.2 crore in 2007 when the value of property was more than Rs 200 crore. The sale deed was executed by an individual not connected to Bruhat Bangalore Mahanagara Palike directly. 

He said the BBMP had entered into an agreement with Shyamaraju and Company India Private Limited way back in 1993 to construct a building on the said land. As per the agreement, once the work is over, 40 per cent of the property would remain with BBMP while ownership of 60 per cent of the property will go to the developer.

Poor financial condition

Once the work was over, the Palike decided to sell the property to Shyamaraju and Company in 1995 on the pretext of poor financial condition of the Palike. 

The last Council meeting of the elected body took place on March 29, 1995, and to pass the resolution, a special session was convened the very next day, March 30, 1995, Ramesh claimed. The market value of the property in 1995 was Rs 50 crore but the Council decided to sell it for Rs 1.2 crore. For nearly 12 years the sale deed was not executed. In 2007, the case resurfaced when K Jayaraj was BBMP commissioner, Ramesh said. 

On March 21, 2007, BBMP and Shyamaraju and Company sold the property to the Indus Entrepreneurs represented by Poornima Jayaraj and Dr Shridhar Mitta.