Jagan cancels his dad YSR's order on Machilipatnam Port: Promoters of lead developer Navayuga related to Ramoji

By Newsmeter Network  Published on  9 Aug 2019 2:45 AM GMT
Jagan cancels his dad YSRs order on Machilipatnam Port: Promoters of lead developer Navayuga related to Ramoji

Vijayawada: YS Jagan Mohan Reddy's government on Thursday cancelled the concession agreement to Navayugda Machilipatnam Port Limited for the development of Masula port and also ordered authorities to resume 412 acres of land handed allotted.

A GO has been issued on August 8 where the 2010 June Concession agreement done by the YSR's government was cancelled by his son YS Jagan led government. Interestingly promoters Navayuga the lead developer of the consoritum of MPPL has links with Eenadu group founders.Eenadu Group chairman Ch Ramoji Rao's granddaughter Keerthi Sohana had married Navayuga group chairman C. Vishweshwara Rao's grandson R Vinay in April 2019.

Jagan has been accusing Eenadu group of Media bias against him and his party YSR Congress.In the GO State government said it reserves the liberty to claim the compensation or the damages suffered by the government regarding Machilipatnam Port Limited.Industry Infrastructure, Investment, and Commerce Department in its GO said, "It is evident that the land requirement for Phase 1 and Phase 2 is 310 acres and developer was already in possession of 412 acres by October 2008. As per the original Detailed Project Report the project could have been completed within the stipulated time. In March 2017 Department of Ports has pooled 2513 acres of government land and 471 acres o assigned land and requested a developer to take over the lands. However in breach of contract MPPL informed that they would take over the land only after external Infra, the right way of project, land free from encumbrances is given.,"

The order said, "The developer MPP's intention to breach the contract at various times is a clear proof that it was not in compliance with any of the fundamental obligations with the Concessionaire Agreement and seeking time for speculative reasons. This action has resulted in causing and irreparable loss affecting both national and state growth of an investment. Public interest is not being served by the actions of developer nor is the government policy of promoting port activity bearing fruit,"

The project for Machilipantam Deep Waterport was conceived in 2008 and the project was initially awarded to Maytas Infra Private Limited. A Special Purpose Vehicle Vajra Sea Port Pvt limited was incorporated by Maytas to implement the terms and conditions of the concession agreement.
The name of the company was later changed to Machilipatnam Sea Port Limited with a consortium of members Maytas Infra, NCC Limited, SREI Infrastructure Finance, SaratChatterjee, and Company Vishakapatnam Private Limited. In 2009 August NCC Limited has been authorized to identify lead promoters given exit of SREI and SCPL and the inability of Maytas to carry forward the project.

The government permitted the induction of Navayuga Engineering Company Limited as the lead promoter of Machilipatnam Port.

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