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DIAL questions CAG audit, says land sops available to all

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Press Trust of India New Delhi
Last Updated : Jan 24 2013 | 1:49 AM IST

CAG, in its draft audit report which is yet to be tabled in Parliament, states that Delhi International Airport Pvt Ltd (DIAL) could earn Rs 1.63 lakh crore over a period of 60 years from land that leased out for a mere Rs 100 per year.

"At the outset we would like to state that DIAL, being a public-private partnership, does not come under the purview of CAG audit," DIAL said in a statement.

GMR-led DIAL said it had won the bid to development Delhi airport through a global tender where terms like concessional land and usage of 5 per cent of airport land for commercial purposes were available to all bidders.

"The bid process and conditions were reviewed and upheld by the Supreme Court of India in 2006," it said.

Stating that the figure of Rs 1.63 lakh crore as value of land was "theoretical and grossly misleading", it said the amount of revenue accruing to DIAL over 58 years does not represent the time value of money.

"It (Rs 1.63 lakh crore) is simply the absolute amount of revenues that accrue to DIAL over 58 years (45.99 per cent of the same will be shared with Airport Authority of India)

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First Published: Jun 04 2012 | 4:15 PM IST

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