The BJP’s Karnataka unit on Tuesday alleged that the JD(S)-Congress government took a cabinet decision in a “hurry” to allot 3,700 acres of land at a cheaper rate to the JSW Steel plant in Ballari to “fill” their coffers and out of fear that they might lose power in the state. State BJP general secretary C T Ravi also claimed that the coalition government is on a “shaky ground” and a cabinet proposal on the JSW Steel plant was cleared on Monday. He demanded that the state government immediately stop this.

“The Karnataka government has given 8,000 acres of land in Sandur, Ballari district, to JSW Steel plant in tranches since 1993. The land was given on lease. Yesterday, the cabinet took a decision to allow a sale deed for 3,700 acres at Rs 1.25 lakh per acre,” Ravi told reporters here.

While the market value of the land near the steel plant is in the range of Rs 15-20 lakh per acre, the government’s decision to sell it at only Rs 1.25 lakh per acre is against the interest of the state, he said.

Following the cabinet meeting on Monday, Rural Development Minister Krishna Byre Gowda told reporters in Bengaluru that JSW Steel in Ballari was given 3,660 acres in 2005-06 on the basis of lease-cum-sale to set up a plant and infrastructure for employees.

He had said as per the agreement, the lease had to be converted to sale after 10 years, which the cabinet approved on Monday.

The minister had also said any difference in the amount that the company needs to pay would be collected.

The decision was taken without looking into whether the company had met all the conditions such as the number of jobs created, jobs given to locals and the impact on the environment that were agreed upon in the memorandum of understanding (MoU) signed with the state government, he claimed.

The BJP leader also said the previous Congress-led government had deferred a decision on this matter as several cabinet members, including H K Patil, had opposed it.

But, the cabinet had a taken a decision to give below 10 acres of land for sale and above 10 acres for lease alone, he claimed.

“Now, the JD(S)-Congress government has taken the decision in favour of Jindal. I suspect corruption in crores... this should be stopped immediately,” he said, adding that Patil has shot off a letter to the government opposing the cabinet decision.

comment COMMENT NOW