Maharashtra Revenue Minister Narayan Rane’s threat to resign over sale of a plot owned by the state government’s industrial infrastructure arm, CIDCO, to the Videocon group for its liquid crystal display (LCD) project is going to hurt the party and the government, Patangrao Kadam, the Congress’ acting state president, has admitted.
During a cabinet meeting on Tuesday, Rane alleged that the Navi Mumbai plot, valued at around Rs 3,500 crore, was being sold to the Videocon group for Rs 300 crore. Rane’s allegation created a vertical split in the cabinet.
Senior ministers like Finance Minister Jayant Patil, Civil Supplies Minister Sunil Tatkare, Excise Minister Ganesh Naik (all NCP) and Industry Minister Ashok Chavan initially supported Rane.
However, when Chief Minister Vilasrao Deshmukh told the cabinet that Videocon was considering relocating the Rs 8,000-crore project, which can create 10,000 jobs, to another state, all ministers except Rane consented. Rane submitted a dissent note.
Subsequently, speaking to reporters, Rane threatened to resign, alleging that the government was being run for the benefit of a few and the common man was being ignored.
Videocon said it was considering setting up a semiconductor FAB to manufacture TFT-LCD in Maharashtra at an estimated cost of Rs 8,000 crore.
The company said it had sought a central government subsidy of Rs 2,000 crore under the recently announced semiconductor policy. The project would generate employment for 10,000 people, it said.
“Many major states such as Andhra Pradesh, Tamil Nadu, Maharshtra and West Bengal sent delegations to bring the project in their regions, offering full support with regards the infrastructure and location requirements for such a project, which needs to be on continuously and where manufacturing precision is critical”, the company said.
But not everyone was impressed. Speaking to mediapersons today, Kadam said, “Every minister has a right to say in the cabinet what her or she feels but it is unfortunate that things came out in open. This has provided ammunition to the opposition.”
Replying to a question, Kadam said, “The issue is beyond the state unit’s jurisdiction. Only the high command is competent to take a decision on such matters. It is the high command’s prerogative to ask Rane to step down or work out a compromise between Rane and Deshmukh”.
Meanwhile Rane, who was on official tour in Amravati district of Vidarbha region, clarified that he would not resign until he had met party President Sonia Gandhi.
Sources close to Deshmukh said they were not going to settle for anything less than Rane’s resignation as he had crossed all limits of indiscipline.
“If Rane thinks the government is not effective and is not being run for the common man, why is he still in the cabinet and issuing empty threats? He should quit,” said an MLC from Deshmukh’s camp.
Meanwhile, Kadam and Rane told mediapersons they would be going to New Delhi on Thursday and meet party General Secretary Margaret Alva. But no decision on the impending crisis in Maharashtra unit of the Congress is expected till 10th of this month as Gandhi will be in Bejing to participate in the Olympic inauguration ceremony.
