Probe had halted work on Emaar MGF project
Buyers had been running from pillar to post for completion of the project, but to no avail.
By : DC Correspondent
Update: 2016-01-02 06:34 GMT
Hyderabad: Restoring the Telangana state government’s 26 per cent stake in the Emaar MGF project in Manikonda will pave way for the completion of the project to protect the interests of buyers, since these cases are pending in the courts.
Though the state government had initially thought of scrapping the project and take back 200 acre of unutilised land in the expensive IT corridor, the committee is learnt to have felt that it might lead to further legal troubles for the government since several buyers have already purchased plots and flats in the project.
The apartments were built over 14 acre and they remain incomplete, causing a loss of around Rs 300 crore to buyers. Villa plots were sold over an area of 100 acre. The TS government had also planned to scrap other components of the project like the golf course, clubhouse, boutique, hotel and township, and take back the land earmarked for these purposes, but it is now re-looking into the issue anticipating legal problems.
While the 535-acre project was conceived by the TD government in 2003, the controversial dilution of APIIC’s stake in the project took place during YSR’s rule in 2005. The project got mired in legal disputes in 2010 when CBI started a probe into irregularities in the sale of villa plots to some influential persons for throwaway prices.
About 100 film stars, politicians and celebrities were questioned by the CBI for purchase of 135 villa plots sold for just Rs 5,000 per sq. yd, when the market rate was nearly Rs 60,000, causing a huge loss to the government.
The state government had constituted a panel headed by the Chief Secretary in October 2015 to find a legal way out for the project. Nearly 210 buyers are believed to have purchased luxury flats by spending up to Rs 1.80 crore each, but the works were stopped mid-way in 2010 after the CBI cases came up.
Buyers had been running from pillar to post for completion of the project, but to no avail. On the other hand, villa plot owners who had purchased plots for throwaway prices have construct houses and there have been complaints of these properties changing hands. The Telangana state government feels that restoring the project is the only option to overcome these problems.
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