Tuesday, December 13 2005 19:01 Hrs (IST) - World Time -

New Delhi: The promoter of the Rs 2250 crore Bangalore-Mysore expressway project today alleged before the Supreme Court that former Prime Minister H D Deve Gowda and his son H D Revanna, a Minister in the State Cabinet, were trying to scuttle the project for political reason.

"All sorts of trouble were being brought about on the company which was unable to execute the project," a Bench comprising Justice Ruma Pal, Justice Arijit Pasayat and Justice B N Srikrishna, was told by senior advocate Dushyant Dave, who appeared for the promoter company - Nandi Infrastructure Construction Enterprises (NICE).

NICE alleged that till now State government has not rescinded the agreement for execution of the project entered in 1997.

The counsel claimed that Deve Gowda had written a letter to his son Revanna, who is PWD and Energy Minister against the project and later a Committee was formed to review it, which said that 2,450 acres of land or any surplus land should not form part of the project.

The company contended that for developing the township and providing interconnectivity these lands were required.

Dave alleged that Gowda was trying to scuttle every project and referred to the resignation of N R Narayana Murthy, Infosys Chairman, from the Committee, which was working on the construction of Bangalore International airport.

However, senior advocate, Anil Divan, appearing for Karnataka Government, objected to the allegation contending that Dave was going beyond the issue in question before this court.

Supporting NICE in its grievance against the State Government, an industries association submitted that several projects have been pending since 1992 and they should be allowed to continue without delay.

"The father and son cannot stop the projects," senior advocate Mukul Rohatgi, appearing for the association said.

When the Bench asked about the stand of state government on the expressway project, Divan said Government was in favour of the execution of the project if NICE did not ask for 2450 acres of surplus land.

The apex court, which had allowed the authorities to go ahead with development of project with a condition that the land earmarked for the purpose would not be alienated, today (December 13, 2005) modified its order permitting the promoter to sell, alienate and mortgage land in its possession for the execution of the project.

The Bench said alienation; sale and mortgage of land would be subject to the outcome of the appeals pending before it.

The apex court clarified that the prima facie issues raised in the appeals were considered by the orders passed by the Division Bench of the Karnataka High Court in 1998 and affirmed by it in 1999.

The Bench listed the matter for further hearing on January 10.

The High court had quashed Government Order constituting the expert committee and review committee to review the project and probe whether irregularities had taken place in allotment of land for the project, being executed by NICE.

The State had filed appeal against the order for quashing the expert committee.