The issue of alleged misuse of land allotted to Brahmani company for setting up steel plant in Kadapa district rocked the Legislative Council for the second consecutive day on Wednesday.

Leader of Opposition Dadi Veerabhadra Rao (TDP) and P. Nageswara Rao (CPI) who raised the issue during Question Hour urged the Chairman to convert it into a short discussion as it needed clarifications from different Ministers, Revenue, Industries and Mines as the situation on the ground was entirely different from what the government had been claiming.

They alleged that Brahmani did not honour the MoU to commence steel production by 2009 and violated the norms by exporting iron ore from the captive mine meant for the steel plant and earned Rs.10,000 crore illegally.

However, when Chairman A. Chakrapani did not allow the short discussion nor give any assurance to the opposition's demand that the Chief Minister should make a statement in the House to give clarity to the issue, TDP,CPI and CPI (M) members protested forcing the Chairman to adjourn the House.

Earlier during Question Hour, Major Industries Minister J. Geetha Reddy clarified that over 14,000 acres allotted for steel plant and the airport was not mortgaged by the company to raise loans. But Mr. Veerabhadra Rao disputed it and produced a document which said that the company had mortgaged the land to Axis Bank. Ms. Reddy, however, reiterated that the Collector did not allow any mortgage of land.