Govt admits irregularities in Mukta Arts deal | india | Hindustan Times
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Govt admits irregularities in Mukta Arts deal

india Updated: Apr 14, 2007 22:55 IST
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The State government on Friday admitted that everything was not fine with its own decision to transfer the land at Film City to Subhash Ghai’s Mukta arts for a film institute.

However, it cannot revert or modify its decision as the issue is subjudice now.

Admitting that government failed to maintain transparency in a joint venture between its undertaking, the Film City and Mukta Arts, state cultural affair minister Ashok Chavan said,

“We failed to follow the norms, but as of now nothing can be done on it as the issue is court.”

The state government had entered into a joint venture with the Mukta Arts to start a film academy__the Whistling Woods.
In the project of Rs 20 crore, the state had to pay Rs 3 crore as the government’s equity in the joint venture. However instead of paying government’s share, the state gave a plot measuring 20 acres to the academy.

The issue was raised by Shiv Sena –Bharatiya Janata Party legislators through a calling attention the issue in the Legislative Council on Friday.

The legislators sought to know whether government would take back the plot given to the academy.

Chavan said that land has not been handed over to anyone. “Further action of the government would depend on the court directives,” he added.