After Nimma Ayke, Onde Kanthu scam rocks MUDA

The total value of the sites estimated at Rs 100 crore

The Mandya Urban Development Authority (MUDA), which faced allegations of illegal allotment of sites and misuse of deposit amount recently, is yet again in news for all the wrong reasons.

The scam – ‘Nimma Ayke’  where 355 sites were illegally distributed, was unearthed in the month of March. Now, a similar scam under the scheme ‘Onde Kanthu’ has come to light, where it is said, about 80 sites have been distributed illegally.According to reliable sources, MUDA officials, in the year 2004, had distributed 70 to 80 sites under the scheme by collecting the amount on a single payment (onde kanthu).

Lokayukta officials had seized several documents related to Nimma Ayke scheme, and a letter has been written to provide the attested copies of those documents. If those documents are available, the number of sites distributed illegally under Onde Kanthu would cross 300, said a MUDA official, on condition of anonymity.

MUDA, which had invited applications for allotment of sites at Vivekanandanagar layout in the year 2002 had selected the beneficiaries under the lottery system. The remaining sites would be considered as stray sites. According to rules, these stray sites have to be distributed only through auction. But, it has been found that the sites have been illegally distributed.

Title deeds

When it came to light that 335 sites were distributed illegally between the year 2005 to 2007, under Nimma Ayke scheme, the incumbent MUDA commissioner K Mathai had written a letter against the 17 MUDA staff, including four commissioners, who were allegedly involved in the incident.

Title deeds were not provided to any site sold after 2005. The site owner iseligible to get the title deed only after ten years. But, interestingly, all the 335 site owners were directly issued title deeds.

According to documents available, it is certain that 415 sites have been illegally distributed between 2004 and 2007. As per the current market rate, the total value of the sites may cross a Rs 100 crore. As these sites were sold below the market rate, MUDA has incurred losses amounting to crores of rupees.

Meanwhile, site owners are seeking permission for change in khatha and also for construction of houses.

Following this, MUDA officials have written to the department of Urban Development. The fate of the sites would be decided, only after receiving directions from the department, officials said.