Kerala: Haripad medical college investor wants money back

Alappuzha: An NRK from Ambalappuzha here has moved the High Court seeking refund of Rs 30 lakh he had invested in the proposed Haripad medical college project, a brainchild of Mr Ramesh Chennithala, Haripad MLA and former home minister.

This disproves the claim made by  Mr Chennithala,  Opposition Leader,  a few months ago that no money had been received as investment for the project.

Mr Harikumar, the NRK, said in his petition that he had invested the money in two instalments, the first on August 17, 2012 and the second on December 17 the same year.

Mr Chennithala had told reporters at the DCC office here on June 7 last year that there had been no  financial transaction with investors for the project.  

The press conference was called a few  days after Finance Minister T.M. Thomas Isaac, PWD Minister G. Sudhakaran and Health Minister K.K. Shylaja questioned the need for a medical college at  Haripad close to the Alappuzha college.      

Mr Chennithala said then that  25 people had shown interest  in  the project.  “But even  four years after the project was announced, nobody had come forward.  Only 12 acres of land out of the total required 27 acres was   acquired. The UDF government sanctioned  Rs 15 crore, out of which, Rs 12.5 crore was spent,” he said.

Now, the investor has moved the court as the project has failed to take off.  Recently, the government closed a special office set up in Kottayam to coordinate PPP-model medical college projects in the state.

The NRK has invested in a new private hospital project being executed at Mavelikara- Thiruvalla stretch partnering with noted  heart surgeon Dr K.M. Cheriyan.  He had donated for many development activities,  including in government college, Ambalappuzha, and the recently-concluded Bhagavata Satram, and owns  seven companies abroad.

The court has posted the case for final hearing  next week.  “The government lawyer has been  buying time, but the court has made it clear that no further chance would be given for the prosecutor to make the government stance clear.  We have filed a case demanding the return of Rs 30 lakh with interest,” said a source.

The project landed in trouble after the finance minister said on  June 5  that the order issued by the previous government approving Rs 300-crore NABARD loan would be reviewed. He also refused to take up the financial liability in the public-private partnership project.