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Govt pays compensation for its own land!

Officials involved in Rs 106.89 crore racket
Last Updated 26 September 2010, 19:01 IST

Some junior cadre officers objected distribution of compensation cheques in select land acquisition cases. They stated on records: “This kind of compensation distribution is against the law.” But the KIADB higher-ups yielding to the pressure of a few politicians, ordered payment of compensation, revealed KIADB sources.

Itask Software Development Private Company Limited is learnt to have master-minded the racket. The Lokayukta team investigating the racket disclosed the company had close links with influential ministers, had given security on behalf of landowners entitled for compensation. The company reportedly directed the authorities concerned to give compensation to those suggested by the management.

The special land acquisition officers took decisions as per the company’s directives which finally resulted in the racket, revealed KIADB sources. The company submitted a security letter when the process of disbursing compensation to those whose land had been acquired for setting up three special economic zones near Jala hobli in Bangalore North taluk. Aerospace industries, Information Technology Park and hardware park will come up at the zones. However, compensation was given to the land owned by the Government. More shockingly, compensation was also given to the land which did not exist at all.

The KIADB norms prevent disbursal of compensation based on any private company’s security.  A huge compensation was given in violation of all norms.  Chief Minister B S Yeddyurappa and Commerce and Industry Principal Secretary V P Baligar convened a meeting of KIADB senior officers on Friday and Saturday and collected more details.

The KIADB CEO Shyam Bhat attended the meeting. N R Nagaraju was suspended after he was trapped in a bribery case, while other KAS officers - G C Anil Kumar, H S Ramakrishna and Chikkbettaiah were suspended. The process to initiate disciplinary action against more than 10 officers is on.

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(Published 26 September 2010, 19:01 IST)

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