AP HC pulls up state government

Pulling up the Kiran Kumar Reddy government for announcing decisions and not following up on them, the AP High Court gave it four weeks time to cancel the 571-acre land allotment made to Economic City near Sultanpur in Medak district. The bench comprising Chief Justice Pinaki Chandra Ghose and Justice Vilas V Afzalpurkar gave this order while hearing a public interest litigation filed by Captain Lingala Panduranga Reddy who described this allotment as contrary to the public policy besides being violative of the AP (Telangana area) alienation of state land and land revenue rules. He also wanted the court to declare as illegal the concessions extended by the state to the M/s RAK investment authority, United Arab Emirates, which was brought in as a developer for this project.
Since things did not move any further even after passage of five years ever since the allotment, the state had decided to cancel the allotment five months ago and the same was conveyed to the bench in earlier hearings. On September 29, 2012, the state government had directed the Andhra Pradesh Industrial Infrastructure Corporation (APIIC) to terminate the joint venture.
When the matter came up for hearing on Tuesday, Gandra Mohan Rao, counsel for the petitioner, brought to the notice of the court that the state government, despite its claims to cancel the deal, is yet to issue a GO cancelling the allotment. The bench then wondered as to why the state is dodging even after deciding to nullify the allotment. Addressing the state counsel, the bench said “You have already taken a decision to cancel the allotment. Now issue a GO”. When the state counsel sought four weeks time, the bench gave him time but with a rider that the state should issue a GO and file a compliance report in the court after that.
According to sources, the Hyderabad Economic City was to have been developed as an integrated financial hub with infrastructure facilities for banking, insurance and asset management companies apart from having an integrated health city that will include facilities for clinical and non-clinical services, hospitals, medical colleges, research services for clinical trials, drug delivery system, stem cell research and genetic research. The total extent of the Hyderabad Economic City was to be about 2000 acres.