CBI probe sought into Centaur Hotel sale

To counter the Bharatiya Janata Party's "feel-good" campaign, the CPI(M) fired the first salvo yesterday by seeking a Central Bureau of Investigation (CBI) probe into the sale of the government-owned Centaur Hotel of Mumbai, which, according to the party, caused a revenue loss of Rs 145.69 crore.

Referring to the Comptroller and Auditor-General's (CAG) observations on the deal to buttress his point, CPI(M) polit bureau member Sitaram Yechuri said the manner in which the Centaur Hotel was sold off to Batra Hospitality Private Ltd (BHPL) was illustrative of large-scale corruption in the disinvestment programmes. Yechuri said more such scams would be exposed by the Opposition.

Yechuri said the CAG's report confirmed that Rs 145 crore revenue to the public exchequer had been squandered away for a deal of Rs 83 crore - the price at which the hotel was sold off.

"Let there be a CBI probe to find out the reasons for selling the public property at a throw-away price by the government," Yechuri said.

Referring to debates in Parliament, Yechuri targetted Disinvestment Minister Arun Shourie for his attack and said Shourie had pleaded innocence on the pretext that nothing wrong was found by the CAG in check audits.

"But now there is a full audit report, which points fault with the entire deal," he said.

In a particular reference to Shourie's decision to re-fix the reserve price, when in the first round of bidding interested parties had quoted much below the reserved price, Yechuri said the turnover levy was reduced from 6 to 2 per cent to sell the hotel to one bidder whose proximity to the Sangh Parivar was known.

"Let Shourie come and explain if the turnover levy was not reduced," said Nilotpal Basu, a CPI(M) Rajya Sabha member.

That the CPI(M) has raised the disinvestment issue to run down the BJP appears to be the part of a calculated move to hit the Hindutva forces at the most vulnerable spots. Yechuri said his party would consult all parties to take up the Centaur Hotel issue.

Yechuri said he had been raising the issue of "political morality" only to expose the hollowness of the BJP's claim to free India from hunger, fear and corruption.

Taking exception to the statement of Civil Aviation Minister Rajiv Pratap Rudy that he had only emulated his predecessors in using the Airports Authority of India to pay for his extravaganza, Yechuri said it showed the scant regard for political morality in the BJP.

With the BJP stepping up the India Shining campaign to consolidate its position, the CPI(M)'s decision to launch offensive on disinvestment issue seems to be aimed at pinning down the government on the economic agenda.

The CPI(M) is also making an attempt to make growing unemployment a political issue particularly in the context of parivatisation of PSUs resulting in loss of jobs in the organised sector.

But this is not the only issue, which the Opposition seeks to corner the BJP. The Congress has already raked up the controversy over purchase of caskets during the Kargil clashes.