The Central Bureau of Investigation (CBI) has initiated a Preliminary Enquiry (PE) to look into the alleged irregularities in the grant of land at Delhi airport to the GMR group at lower-than-market rates.
According to sources, the agency has registered a PE against unknown officials of civil aviation ministry, Airports Authority of India (AAI), Delhi International Airports Ltd (DIAL) and GMR. The agency has alleged around 200 acres belonging to AAI was allotted to the GMR group at concessional rates by certain officials. “Allegations are that certain officials have committed gross misconduct in the matter of lease of 190 acres of government land belonging to AAI at the Indira Gandhi International Airport to DIAL at nominal price as compared to the prevailing markets,” said a source.
In a detailed statement, a DIAL spokesperson said it was not aware of any such probe and termed the allegations “baseless” and “unfounded”.
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“We are not aware of any such Preliminary Enquiry registered with the CBI, neither have we received any communication on this matter from any agency. The allegation that the government unduly gave us the land at a much lesser rate, which has caused huge financial losses to them (government), is baseless, unfounded and devoid of any legal foundation. Land transfer was done strictly as per the OMDA (Operation Management Development Agreement) provisions and after receiving all the necessary approvals from the concerned stakeholders - Government of India, AAI and others,” said a DIAL spokesperson.
The Comptroller and Auditor General (CAG) had also noted the matter related to this alleged misappropriation in its report for 2012-13. It had said the DIAL had paid an upfront fee of Rs 150 crore to the AAI on April 29, 2006 and supporting documents in this regards were not provided to the CAG.
However, the company spokesperson said: “The Ministry of Civil Aviation has clarified adequately and appropriately that this additional land is meant only for the aeronautical purpose.”
The AAI board decided in a meeting on March 6, 2009, to lease out an additional 190 acres from the carved out assets to DIAL for aeronautical purpose, according to OMDA.
CAG has alleged “no negotiations in good faith as enjoined” by the OMDA took place and an upfront fee was used as base to calculate the price for the additional land provided by AAI to DIAL. This allowed the AAI to lease out the additional 190 acres at Rs 6.19 crore.
According to the provisions of OMDA, DIAL can use five per cent of its ‘demised land’ (space occupied by a tenant under a lease contract) for commercial purposes. The current value of 9.5 acres (five per cent of 190.19 acres) according to the Airports Economic Regulatory Authority’s communication to audit is Rs 950 crore. The earning potential for 58 years from 9.5 acres based on DIAL's own projections was Rs 6,475 crore.
The company said the Public Accounts Committee “after extensively and exhaustively examining all the stakeholders, including the AAI, civil aviation ministry, DIAL and others, found no irregularities in land transfer and did not make any observation about any benefit to DIAL on account of this land.”