Take over flawed BMIC project: panel

A House committee has found large-scale irregularities in implementation of the Bangalore-Mysore Infrastructure Corridor (BMIC) project by its promoter, Nandi Infrastructure Corridor Enterprise, and recommended that the government take over the project.

The 11-member panel headed by Law Minister T B Jayachandra tabled its 392-page report in the Legislative Assembly on Friday.

The committee sought a probe by the Central Bureau of Investigation or the Enforcement Directorate into shortcomings in project implementation.

The report stated that the then urban development minister in 2003 could have played a role in allowing irregularities in implementation of the project. The report, however, does not name the minister.

The report stated that it was during April 2003 that the draft Outline Development Plan (ODP) for the BMIC project was prepared, bringing 1.75 lakh acres under the jurisdiction of  Bangalore-Mysore Infrastructure Corridor Area Project Authority (BMICAPA).

BMICAPA is a single window agency monitoring the project and is headed by the urban development minister. The ODP was approved on November 9, 2003.

The panel noted that only 29,193 acres land were required for the BMIC project and questioned the need for bringing 1.75 lakh acres under the jurisdiction of BMICAPA.

“The planning areas brought under BMICAPA increased eight-fold. The authority got the power to regulate development in an additional 1.55 lakh acres. A large number of illegal layouts have come up in areas under the jurisdiction of the authority. Infrastructure has taken a back seat,” the report stated.

It stated that after obtaining no-objection certificate from Karnataka Industrial Area Development Board, 2,728 acres proposed to be acquired for the project (coming under the jurisdiction of the authority) was dropped.

Large portion of land

Large parcels of land was owned by proxy (benami) by one Rudresh, the report stated. Rudresh contested on a BJP ticket from Ramanagara assembly constituency in 2009.

The report stated that the promoters made changes in the tripartite agreement on August 9, 2002 and entered into joint development and sale agreements with various builders worth Rs 4,951 crore as per the guidance value of the land.

However, the total investment by the promoters, including borrowings, was around Rs 830 crore.

Panel and govt

The panel asked the government to get the project implemented so far, valued by experts and instead paying money to the promoters for the takeover, to adjust the amount against money illegally earned by the promoter by collecting toll and quarry activities.