Karnataka: Opposition demands inquiry into scrapped aerospace project

Opposition MLCs on Tuesday demanded that the state government conduct an inquiry into the Rs 90 crore Aerospace Common Finishing Facility project that was rolled back in 2019.

JD(S) MLC Marithibbe Gowda sought to know why the state government had failed to implement the project, which was pitched as a platform for SMEs in the aerospace sector to market their products.

"The proposed project at an estimated cost of Rs 90 crore, was cleared by the Centre in 2015. Of this, the Centre's share was Rs 42 crore and the state government was supposed to invest the rest. The Cabinet had approved the project and work orders were also given. In spite of this, the project was rolled back in 2019, with the state having to return the partial grant given by the Centre," he said.

Even though the state government makes big claims about being prepared to attract investors from China, the ground reality is different, he alleged.

Industries Minister Jagadish Shettar said the project was stopped when the coalition government was in power.

"There is no point in blaming the current regime. It was only in 2019 that it was officially rolled back with the state government returning the Centre's funds. Companies did not show interest in investing," he said, assuring to inquire into the matter.