Tuesday, December 11, 2007

IT park Zuari versus DLF in Goa:DLF's mega foray

PANJIM: While Taleigao residents are engaged in a battle with the government against the establishment of an IT park at Dona Paula, in nearby Sancoale, two corporate giants are battling it out to set up an IT park. However, the irony is that the government is acquiring land from one corporate giant to give it to another to set up an IT park.

With no solution at hand, the battle has now reached the High Court of Bombay at Goa. The petitioner, Zuari Industries Ltd, has alleged that the government is discriminating between two private parties and seeking to favour one -- DLF Commercial Development. Zuari Industries Ltd has further alleged that the government is acquiring their land at throw away prices to give it to DLF Commercial Development to set up an IT park.


The story goes like this. Zuari Industries Ltd proposed to establish a sector specific SEZ dedicated to the development of IT and IT enabled services sector, in the land they had acquired from the Communidade of Sancoale on March 31, 1971. The IT SEZ project worth Rs 730 crores was proposed to be established on 40 acres ( 16.20 hectares) land owned by Zuari Industries Ltd.



For the same, they submitted an application to the Ministry of Industries, GoI on December 27, 2006, for establishment of a sector specific SEZ dedicated to the development of IT and IT enabled services in Goa. They did this because they had to seek approval of the proposal from GoI and then obtain the concurrence of the State government.



Meanwhile, the state government issued a notification on February 5, 2007, under section 4 of the Land Acquisition Act, 1894, wherein it was mentioned that the land (which was owned by Zuari Industries Ltd, on which they proposed to set up an IT SEZ) is likely to be needed for "public purpose", viz land acquisition for expansion of Sancoale Industrial Estate, Phase V.



In other words, Zuari Industries Ltd alleged that the government was proposing to acquire more than 18 hectares of land on which the IT SEZ was to be established, thus reducing the land available for SEZ less than 10 hectares. With the land available with Zuari Industries Ltd being less than 10 hectares, the plans of Zuari Industries Ltd to have an IT SEZ would become infractuous.



Even as on February 15, 2007, GoI addressed a letter to the state government for its comments on Zuari Industries Ltd proposal to set up an IT SEZ, which the petitioners allege the state government has failed to consider, the government allegedly transpired to proceed with the acquisition for establishment of IT park by DLF Commercial Development.

Zuari Industries Ltd has alleged in the Court that the government is not acquiring the land for "public purpose" but to facilitate DLF Commercial Development to set up an IT park. The government's intention, Zuari Industries Ltd alleged, is revealed in the minutes of the 291 st Board meeting of Goa Industrial Development Corporation, which states that DLF Commercial Development had given a proposal to set up an IT park on the land belonging to

Zuari Industries Ltd.

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