New Delhi: Rajasthan agriculture minister Kirodi Lal Meena has raised concerns about a multi-storey housing project in Gandhinagar, alleging potential losses of Rs 1,146 crore to the government. He has written a letter to chief minister Bhajan Lal Sharma, reported NDTV.
According to the Indian Express, the project involves redeveloping the old MREC campus, where senior government officials reside.
The General Administration Department, which is under the chief minister, has sanctioned a plan to construct six multi-storey buildings at the location, according to the newspaper.
While four of the buildings would be used for government housing, two will be sold to private players as part of a public-private partnership.
In a letter written to the chief minister on May 14, Meena alleged that the General Administration Department was going ahead with the plan without the Cabinet’s approval. He said notices for eviction of government houses in the campus have already been issued, the daily reported.
“Under the master plan, there is no provision of 18-19 storey buildings here,” wrote the minister. “Commercial use is also not allowed here as per rules. However, illegal means have been used to make this project happen.”
He highlighted that a recent assessment has appraised the area in the Old MREC campus at Rs 218 crore, whereas its value five years ago stood at Rs 277 crore. Meena further said that the reserve price, set by a financial institution as the minimum, is undervalued at Rs 8,000 per square foot compared to the current rate of Rs 25,000.
The minister wrote that this would result in nearly Rs 17,000 per square foot loss. As the government intends to sell nearly 33% of the flats to private players, the losses would add up to Rs 1,146 crore, he said.
“Some officers/people are going to make black money worth crores of rupees by colluding with REDCC [Real Estate Development and Construction Corporation of Rajasthan Limited],” wrote Meena, IE reported. “It is necessary to pay timely attention to ensure that the government does not lose about Rs 1,146 crore.”
