Vigilance dept initiates probe into land-use conversion charge ‘waiver’

Ghaziabad: The vigilance department has initiated an inquiry into objections raised by the Comptroller and Auditor General (CAG) during the audit of accounts of the Ghaziabad Development Authority (GDA) and highlighted that the authority did not include land use conversion charges to the tune of about ₹500 crore for projects under the Uttar Pradesh government’s ‘hi-tech city’ policy

Ghaziabad: The vigilance department has initiated an inquiry into objections raised by the Comptroller and Auditor General (CAG) during the audit of accounts of the Ghaziabad Development Authority (GDA) and highlighted that the authority did not include land use conversion charges to the tune of about ₹500 crore for projects under the Uttar Pradesh government’s ‘hi-tech city’ policy.

Ghaziabad, India - September 27, 2022: A view of the office of the Ghaziabad Development Authority at the old bus stand in Ghaziabad, India, on Tuesday, September 27, 2022. (Photo by Sakib Ali /Hindustan Times)

GDA officials said that the CAG in 2017 conducted an audit of the accounts and raised objections for not charging land use conversion charges. Against this, authority officials said that they submitted their replies to the state government as well as to the CAG.

“Now, taking cognisance of the matter, the vigilance department has taken up an inquiry. They have asked us to provide a list of required documents for the purpose and we have submitted the same. There were objections raised in the CAG audit that the authority did not charge about ₹500 crore for land use conversion for projects under the hi-tech city policy,” said Rajiv Ratan Sah, GDA town planner.

The authority generally charges a fixed amount when there is conversion of land, for instance from agriculture to residential or commercial, etc.

The projects under the policy rolled out in 2003 were initially proposed to cover about 8,800 acres of land adjacent to the National Highway (NH-9) in Ghaziabad. Presently, the state government has also accepted the proposal for downsizing the project areas and the process is on at public hearing stage.

“With respect to land conversion charges, we replied that it was not any arbitrary decision taken by the authority, but it was done on the basis of a government order issued in 2010. The order was approved by the UP cabinet as well and we acted in accordance with the order. The order also said that the area of the townships was indicatively marked as residential in the Master Plan-2021,” Sah added.

The GDA town planner said that initially the authority had raised a demand for recovery of charges but later the state government waived them off by rolling out the order in 2010.

The authority has also nominated one of its officers who will act as a nodal officer. He will help and coordinate between the two departments and also fulfil requirement of documents sought by the vigilance department, sources said.