India''s first private road project in more trouble
03 Sep 2007
The
Bangalore-Mysore Infrastructure Corridor, the country''s
first private road project has run into more trouble.
After the Supreme Court directed the Karnataka government
to allow construction, the state government has backed
off from releasing more land for the project, reports
CNBC TV-18.
The Bangalore-Mysore Infrastructure Corridor is fast going
nowhere. On Thursday, the Karnataka government decided
not to give any more land to the Nandi Infrastructure
Corrdidor Enterprise (NICE), the company in charge of
the country''s first private road project.
Basavaraj Horatti, cabinet spokesperson, Karnataka state
government, said, "The government has come to a conclusion
that the NICE is deceiving the government. It''s violating
the norms."
The Karnataka cabinet took the decision after the US-based
Global Infrastructure Consortium offered to build the
same road using lesser land. But NICE is now crying foul.
Its managing director Ashok Kheny, now in the US, said
in an e-mail response, "The state government''s action
is in direct violation of the Honourable High Court and
Supreme Court''s orders to both NICE and the state government
of Karnataka, to henceforth implement the project in letter
and spirit as per the Framework Agreement."
The state government''s move could mean that NICE will
not get land at 10 major intersections and that''s a big
setback. The cabinet''s proposal will be placed before
the Supreme Court for approval before it is implemented.
"We''ll put before the court bench all the information
about NICE. In the interest of Karnataka, in the interest
of government, of the public, whatever Supreme Court directs,
we''ll act according to that," said Horatti.
It''s
just a stretch of 114 kms, but the Bangalore-Mysore expressway
is nowhere near completion. And now, 13 years after work
began on the project, the Karnataka government wants to
lock horns again with the private promoters of the project.
This, after more than 300 cases have been settled in various
courts.
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