Hyderabad, Jan 21: The involvement of the Andhra Pradesh's Government in the Satyam fiasco was evident by a copy of the letter written by the Principal Secretary to the government. In the wake, Andhra Pradesh Government has cancelled the allotment of 50 acres of land given to Satyam Computer Services for setting up an information technology Special Economic Zone (SEZ) near Visakhapatnam.
The letter states that Andhra Government approved the allotment of land at Rs 10 lakh per acre whereas the actual market price was Rs 5 crore per acre. "The Revenue Department has asked the APIIC to withdraw the allotment of 50 acres as per the government decision," senior official said on Tuesday (January 20).
On Dec 4 last year, the AP Government issued orders to allocate 50 acres of land in favour of Andhra Pradesh Industrial Infrastructure Corporation (APIIC) in Visakhapatnam. In turn, the APIIC had to allot the land to Satyam to enable the company to develop a software SEZ.
"The 50-acre land was originally allotted to the police department and Visakhapatnam Urban Development Authority - 25 acres each. The land was offered in lieu of the land originally offered to the company in 2005," the official said.
APIIC had entered a MoU with Satyam in 2005 for allotment of 50 acres of land at Thotlakonda Hills in Bhimunipatnam Mandal in Visakhapatnam district.
Chief Minister Y S Rajasekhara Reddy had laid foundation stone for the proposed software project in May 2005 and later the company paid Rs 5 crore (Rs 10 lakh per acre) to APIIC and entered agreement of sale in April 2007, sources said.
OneIndia News (With inputs from Agencies)
The letter states that Andhra Government approved the allotment of land at Rs 10 lakh per acre whereas the actual market price was Rs 5 crore per acre. "The Revenue Department has asked the APIIC to withdraw the allotment of 50 acres as per the government decision," senior official said on Tuesday (January 20).
On Dec 4 last year, the AP Government issued orders to allocate 50 acres of land in favour of Andhra Pradesh Industrial Infrastructure Corporation (APIIC) in Visakhapatnam. In turn, the APIIC had to allot the land to Satyam to enable the company to develop a software SEZ.
"The 50-acre land was originally allotted to the police department and Visakhapatnam Urban Development Authority - 25 acres each. The land was offered in lieu of the land originally offered to the company in 2005," the official said.
APIIC had entered a MoU with Satyam in 2005 for allotment of 50 acres of land at Thotlakonda Hills in Bhimunipatnam Mandal in Visakhapatnam district.
Chief Minister Y S Rajasekhara Reddy had laid foundation stone for the proposed software project in May 2005 and later the company paid Rs 5 crore (Rs 10 lakh per acre) to APIIC and entered agreement of sale in April 2007, sources said.
OneIndia News (With inputs from Agencies)
Oneindia Login