Karnataka govt clears sale of 3,667 acres to JSW Steel

PTI, Aug 23, 2024, 8:22 AM IST

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Bengaluru: The Karnataka Cabinet on Thursday gave its approval for executing an absolute sale deed for the proposed sale of a total 3,667.31 acre of land to JSW Steel in Ballari district.

The cabinet has also given in-principle clearance for two big-ticket projects in Bengaluru — a sky deck (a tall panoramic platform or building) and an underground vehicular tunnel.

“It has been approved to execute an absolute sale deed for 2,000.58 acres of land at Kurekuppa and Toranagallu villages in Sandur taluk, and 1,666.73 acres of land of Toranagallu, Musinayakanahalli and Yerabanahalli, in favour of JSW Steel,” Law and Parliamentary Affairs Minister H K Patil told reporters after the cabinet meeting.

He said the land deal with JSW had run into controversy in the past, and the current decision has been taken under “legal compulsion”, as the company had moved court.

Recalling that the issue had led to a controversy earlier, Patil said, “JSW had filed a mandamus application. Following the court situation, approval has been given to execute absolute sale deed in favour of JSW….there is a legal compulsion.” JSW Steel will get 2,000.58 acres at Rs 1.22 lakh per acre and 1,666.73 acres at Rs 1.50 lakh per acre.

In 2005, when Dharam Singh was the chief minister, the cabinet had decided to give on lease-cum-sale arrangement 2,000.58 acres to JSW.

An order on this was issued by the JD(S)-BJP coalition government that came to power thereafter when Kumaraswamy was CM and B S Yediyurappa was industries minister.

In 2007, another 1,666 acres were allotted.

The Congress-JD(S) coalition government in 2019 had constituted a cabinet sub-committee to examine the sale proposal, as its decision to convert the lease of about 3,667 acres to JSW Steel in Ballari into sale, in accordance with the initial agreement, had created a row.

Accusing the Congress-JD(S) coalition government of selling the land to the company at a throwaway price (Rs 1.22 -1.50 lakh per acre), the BJP, then in opposition, had held a two-day round-the-clock sit-in.

Its leaders had even accused the ruling Congress-JD(S) coalition of receiving “kickbacks” for the sale of land.

The BJP that next came to power, with Yediyurappa as CM in November 2020, formed another cabinet sub-committee to look into the land deal. Subsequently in April 2021, the cabinet agreed to sell the land to JSW Steel, but the decision was again put on hold following opposition.

The cabinet today also gave its in-principle approval for the construction of a 250 ft-tall sky deck in Bengaluru at an estimated cost of Rs 500 crore.

“Whether it will come near NICE (Nandi Infrastructure Corridor Enterprises) road or anywhere else will be made known by the concerned minister. …once the DPR (Detailed Project Report) is ready you will get to know the location,” Patil said.

The minister further said that in-principle approval has been given for construction of an underground vehicular tunnel in twin tube mode from Esteem Mall, Hebbal to Silk Board Junction in Bengaluru at a cost of Rs 12,690 crore, and it is aimed at reducing traffic congestion.