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Andhra Pradesh Minister alleges big scam in Amaravati project
Andhra Pradesh

Andhra Pradesh Minister alleges big scam in Amaravati project

Agency News

Mekapati Goutham Reddy, Minister for Industries & Commerce and Information Technology, alleged that the probe on Amaravati project shows shady nexus between former CM Naidu and some companies that bought land in the proposed capital city.

Five companies have acquired 60 per cent of the land in Amaravati, the newly formed State capital of Andhra Pradesh, Reddy said while speaking to ‘BusinessLine’ on the sidelines of the India Economic Summit.

Reddy said investigations have revealed that there were some related-party transactions between the government of former Andhra Pradesh Chief Minister Chandrababu Naidu and the companies in question. “A few people had indirect or direct access to the prior information of development of this capital city. They had the advantage of first information and went ahead to procure land against the norms,” said Reddy.

He further said that a Cabinet sub-committee had been formed to look at the processes of procurement of land and awarding of contracts. “It is empowered to understand that if there have been mala fide intentions, the matter will go to the vigilance department and the courts,” he said.

The sub-committee will submit its report within a month or two. Reddy said of the 33,000 acres in question, up to 4,000-5,000 acres was truly rich agricultural land. The minister said that the most-rich agricultural land available in the State of Andhra Pradesh have been converted it into urban land, while the state see agricultural land diminishing.