TPCC seeks CBI probe into e-auction of 50 acres of state land at Kokapet

The letter, signed by all the TPCC functionaries, alleged that with "ulterior motives" the state government had involved MSTC, a Central government agency, in the sale of the state land.

The TPCC charged that the "huge scandal" had caused a loss of more than Rs. 1,000 crores to the state exchequer. It further alleged that through the e-auction, the state government had favoured a few builders who are close to the Chief Minister.

In the letter, the TPCC said that as a quid-pro-quo for the hot commission, the public servants at the helm of the MSTC helped the public servants of the Telangana government in tweaking the e-auction norms and helped a select group of real estate companies who are close to the Chief Minister pocket the prime properties at a throughway price.

"The officers of the Telangana government who were actively involved in the issue are chief secretary Somesh Kumar (who also holds the additional charge of the revenue department), principal secretary (IT department) Jayesh Ranjan, and HMDA commissioner Arvind Kumar. All the three officials individually hold charge of more than four to five key departments in the state," the TPCC members said.

They added that with the active help of MSTC officials who are managing the e-auction platform, two real estate groups of Hyderabad - Rajapushpa Group owned by family members of Venkataram Reddy (presently posted as the collector of Siddipet district) and My Home Group – manipulated and formed a cartel and grabbed the lands at a discounted price.

Though located in the same area, the price variation between identical plots was more than 45-50 per cent, the TPC alleged. "For example, plot No. 2/P was purchased by Rajapushpa Group for Rs. 602 crores per acre, whereas the next plot No. 13/A was purchased by My Home Group (through a subsidiary Hyma Developers) for Rs. 31.2 crores," it said, adding that the entire 50 acres were either purchased by Rajapushpa Group or My Home Group through their subsidiaries.

They added that only a small portion of about two acres was purchased by Rajapushpa Group to give an impression that the cost of the land had gone up to Rs. 60 crores per acre whereas, in reality, both Rajapushpa Group and My Home Group have purchased more than 40 acres of land for less thanks Rs. 35 crores per acre.

Mr. Venkataram Reddy, using his influence in the government, had threatened many bidders not to participate in the auction, the Congress alleged, stating that it is an open secret in Hyderabad that he has close ties to the Chief Minister. Similarly, Mr. Jupally Rameshwara Rao, the owner of My Home Group, is a close confidant of the Chief Minister, it said, adding that through Mr. Rao's connections in the government, My Home Group had obtained several benefits from the Telangana government, including 100 acres at Tellapur, 35 acres at Raidurg, and 75 acres in Kokapet - all in the IT hub of Hyderabad - at highly discounted prices and through questionable deals.

TPCC further said that a 7.7-acre plot was purchased by Mr. Manne Satyanarayana Reddy for 42 crores. Mr. Reddy is the brother of Mr. Manne Srinivas Reddy, the TRS sitting MP of Mahabubnagar.