Farmhouse Allotment Scam: Authority officials overlooked official report | india | Hindustan Times
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Farmhouse Allotment Scam: Authority officials overlooked official report

india Updated: Nov 05, 2012 16:21 IST
Vinod Rajput
Vinod Rajput
Hindustan Times
Highlight Story

Noida authority officials during the previous Bahujan Samaj Party (BSP) government had allotted farmhouse plots to corporate houses ignoring a report of the Uttar Pradesh Industrial Consultants Limited (UPICO), which had clearly said that many applicants (companies and individuals) were not eligible for the scheme.

This has been revealed in the authority documents submitted to Uttar Pradesh lokayukta NK Mehrotra, who is probing into the multi-crore farmhouse allotment scam. Mehrotra on Monday will grill several authority officials involved in this case.

UPICO in its report, a copy of which is with HT, had said that 33 companies were completely ineligible for various reasons, while 110 companies were not fit for the allotment as they wanted to run commercial activities at these farmhouses for three years. According to the report, all 152 applicants had hid their company background, which was against the norm. The report said that no company had got experience in farming, a mandatory condition to get the farmhouse.

Besides, the farmhouses were allotted to non-existent companies and plots were sold immediately after allotment to make quick money, said the report. Then authority officials’ relatives, senior politicians, IAS officers and corporate houses earned crores of rupees right after the allotment.

The Noida authority had hired UPICO for allotment of the land. The consultant had examined the files related to the allotment before the authority gave final approval.

“Sixteen companies sold their plots right after getting the allotment to earn profit. They took plots only to make quick money. Non-existent companies got plots and were registered later,” said a senior authority official, requesting anonymity.

The scam pertains to the allotment of about 150 farmhouse plots in 12 villages to companies and individuals allegedly at throwaway prices and by flouting norms. The farmland was acquired for industrial development and allotted to farmhouses in 2008-10 by implementing the urgency clause.

Plots were allotted during the Bahujan Samaj Party (BSP) government to allottees at different rates. This caused the state exchequer a huge financial loss. The lokayukta is finding out the basis of the evaluation of the land rate and why no policy was framed by the authority for the allotment.