The great land scam

The scheme was launched on June 9,1994,and the land rate offered was Rs 1,600 per square metre. Companies that had a capital investment of over Rs 10 crore and an annual turnover of over Rs 30 crore,or government or semi-government institutions and reputed private institutions that had purchased land worth Rs 1 crore and above in Noida for their corporate offices,were eligible for the scheme.  

Six companies had applied Flex Industries Ltd,Flex Engineering Ltd,Salora International Ltd,Supreme industries Ltd,Sahara India Savings and Investments Corporation Ltd and Mancare Medical Charitable trust.

The scheme was valid from July 1994 to September 1994. Investigations revealed that Flex Engineering Ltd. had declared its capital investment at Rs 14.37 crore and its annual turnover at 15.98 crore and,therefore,was not eligible,the chargesheet stated. Neera Yadav was the chief executive officer of Noida authority at that time. In the 78th board meeting of the Authority held on October 5,1994,Yadav relaxed the eligibility criteria capital investment was reduced to Rs 3 crore and annual turnover was lowered to Rs 10 crore with a view to make Flex Engineering Ltd. eligible for the allotment,the chargesheet said.

She also reduced the land rate from Rs 1,600 per square metre to Rs 1,200 per square metre without giving any valid reason, it said.

Both units of Flex had submitted their application on the land rate of Rs 1,600 per square metre and despite this,the land rate was reduced to Rs 1,200 per square metre without any demand from any quarter or without any justification.

This led to a gain of Rs 80 lakh and Rs 32 lakh for both units of Flex and an equal loss for the Noida Authority,the chargesheet said.   

Further,the scheme was to open from October 22,1994 whereas Yadav received applications on the letterheads of  Flex Engineering Ltd and Flex Industries Ltd on October 20,1994 two days prior to the opening.

A cheque of Rs 22 lakh and another cheque of Rs 96,000 was attached to the form which was not required at all, the chargesheet stated.

The proposal for allotment of land to both the industrial units were prepared by Neera Yadav herself on October 21,1994 which was finally approved by her on October 22,1994 the very day of opening of the scheme, the chargesheet said.

In the chargesheet filed on October 16,2002,the CBI accused the ex-IAS offer officer of doling out undue favours to Flex in the allotment of the land. The chargesheet said Yadav altered rules to make Flex win the land bid.

The case was registered after the Supreme Court passed an order on January 20,1998,on a writ petition filed by the Noida Entrepreneurs Association against the New Okhla Industrial Development Authority Noida and others.

In all,there were 36 instances of allotment/conversion of plots in Noida which were taken up for investigation, said a CBI officer.

The case in which Yadav and Chaturvedi have been convicted is allotment of plot number U-2/XI to Flex Engineering and plot number A-99/51 to Flex Industries under the Corporate Group Housing Scheme. 

The CBI said Yadav,who was CEO of Noida Authority from January 10,1994 to November 8,1995,entered into a criminal conspiracy with the owner of Flex.

She abused her official position8230;and thereby caused undue pecuniary advantages to the said company, said the chargesheet.