The Hindu : Front Page : Bangalore-Mysore corridor project gets green signal

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Tuesday, Jul 19, 2005

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Bangalore-Mysore corridor project gets green signal

J. Venkatesan

Supreme Court tells NICE not to alienate land acquired for project

NEW DELHI: The Supreme Court on Monday permitted Nandi Infrastructure Corridor Enterprise (NICE) Limited to go ahead with the construction of the Rs. 2,250-crore Bangalore-Mysore Infrastructure Corridor project, subject to the condition that the developer should not alienate the lands acquired for the project in any manner whatsoever.

On May 13, the apex court stayed a judgment of the Karnataka High Court giving a green signal for the development of the project, while issuing notice on appeals filed by the Karnataka Government and the State Chief Secretary.

On Monday, a Bench of the Chief Justice R.C. Lahoti and Justice P.K. Balasubramanyan, after hearing counsel for the parties, modified the May 13 order by allowing NICE to develop the project in terms of the interim order passed by the Karnataka High Court on January 11, 2005. Considering the high stakes involved in the project, the Bench directed that all the appeals be listed for final hearing in November.

(The January 11 order of the High Court said: "Respondent No. 5 (NICE) will be at liberty to continue with the development activities in regard to the project but it shall not alienate any of the lands in any manner whatsoever allotted to it for the implementation of the project.")

When the matter came up for hearing on Monday, senior counsel for NICE, Dushyant Dave, pleaded for vacating the interim stay of execution of the project as the company had already invested nearly Rs. 400 crores for development of the first phase of the project. He said the entire project would cost Rs. 3,000 crores, including Rs. 2,250 crores for the Expressway.

Mr. Dave said a total of 20,191 acres had been acquired for the project and for the development of five townships en route and the cost of acquisition had been borne by NICE. He said that in view of the stay of the project landowners were selling their lands and the State was permitting the registration.

Appearing for the Karnataka Government, the Solicitor-General, G.E. Vahanvati, said the project could be allowed to go on with a condition that 2,450 acres of surplus lands (within the 20,191 acres) not needed for the project should not be alienated by the company.

He brought to the notice of the court that NICE had planned to use these surplus lands for commercial activity.

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