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This is an archive article published on May 27, 1999

Lower income group isn8217;t our only target 8212; CIDCO

AURANGABAD, May 26: The City and Industrial Development Corporation CIDCO has in an affidavit filed before the Aurangabad bench of the ...

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AURANGABAD, May 26: The City and Industrial Development Corporation CIDCO has in an affidavit filed before the Aurangabad bench of the Bombay High Court categorically stated that providing developed plots and constructed houses exclusively to individuals from lower and middle income groups is not the corporation8217;s main objective. 8220;It is only one of the many objectives of the coporation, and that too only in areas that have been notified by the state government,8221; states the affidavit, filed on behalf of the chief administrator of CIDCO.

The affidavit was filed on May 21 in response to a public interest litigation filed by economist, H M Desrada, who had challenged the bulk purchase of land by CIDCO through its tender dated May 13, 1999. Desarda had contended that CIDCO was primarily set up to cater to middle and lower income groups and by taking to bulk sale of land it would defeat the very purpose of its existence.

Desarda had also alleged that CIDCO was working is collusion with top city builders andthat it was going out of its way, even sustaining losses, to provide them prime land on a platter.

However, the affidavit does agree to a serious allegation that Desarda had levelled against CIDCO 8211; that it is selling bulk land in Survey No 70 at Mukundwadi, at a price less than the market value.

8220;The petitioner has pointed out to the price factor, but the price fixed is only marginally less than that could be gained,8221; the affidavit states.CIDCO states that while in the past it has made a number of schemes available to smaller income group categories with financial aid from the Housing and Urban Development Corporation HUDCO, the current trend is to lease bulk land to individuals and builders who in turn build multi-apartments and sell them to needy8217; persons.

CIDCO has submitted that its attempts to pursuade HUDCO to finance its housing schemes now have been turned down as tenement holders earlier, had defaulted on payments worth crores of rupees. It is now practically impossible for CIDCO toundertake construction of houses on its own, CIDCO8217;s affidavit states.

CIDCO has also denied that it had made any submission before the court that the land in Mukundwadi would be made available to individuals from lower or middle income groups as claimed by Desarda. In fact, realising the delay in court matters, those who had challenged the acquisition of their land by CIDCO had agreed to settle the issue out of court with CIDCO,8221; the affidavit states, indicating that it had no occasion to make any submission to the court in the matter.

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Meanwhile, the corporation has already stayed on its own its tender dated May 13, 1999, which was challenged by Desarda, and the court has now fixed the matter for hearing on June 11.

Desrada, in a press statement and a submission to the high court had stated that he has been receiving threatening phone calls ever since he filed the PIL.

 

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