Assembly panel for initiating legal action against firm that pledged Nanguneri SEZ land to raise loan

Tamil Nadu Assurance Committee to recommend govt. create infra in Nanguneri SEZ, legal action against firm mortgaging land for ₹855 cr loan. Committee to inspect 15 industries, 876 TNSCB apartments, Palayam Channel, swimming pool, Armed Reserve Police office, cardiology section of Tirunelveli Medical College Hospital. Committee to review progress of ongoing projects in evening meeting.

The Tamil Nadu Legislative Assembly’s Assurance Committee will recommend to the State Government to ensure the creation of all industry-friendly infrastructures in the Nanguneri Multi-Product Special Economic Zone (SEZ), which is ailing for the past 21 year since 2002, chairman of the Committee T. Velmurugan has said.

 “Moreover, the Committee will also recommend to the government to initiate legal proceedings against the firm, which has mortgaged the land of the SEZ for raising loans to the tune of ₹855 crore instead of creating industrial and social infrastructure in the SEZ,” Mr. Velmurugan said.

 After inspecting the SEZ and meeting the representatives of the 15 industries functioning in the SEZ, Mr. Velmurugan said the private firm, which had been handpicked for developing the SEZ with all industry and social infrastructure, had let down the investors. Consequently, the manufacturing units and the godowns in the SEZ were struggling to get water and quality power to ensure unhindered operations. The government should address these issues at the earliest.

 “Since the SEZ land, which had been handed over to the private firm for developing social and industrial infrastructure within the SEZ, has been mortgaged by the firm for for raising ₹855 crore loan, the Committee will recommend to the government to initiate legal action against this private firm and the officials, who connived with the firm. The Committee will also hold meetings with the SIPCOT, TIDCO and SIDCO to revive the SEZ by creating adequate industrial-friendly infrastructure in this SEZ,” he said.

 When the Committee members visited the ongoing construction of 876 apartments by the Tamil Nadu Slum Clearance Board (TNSCB) on an outlay of ₹120 crore for poor families near Reddiyarpatti, Mr. Velmurugan dropped a few bricks from a height to check the quality and found that the fly ash bricks being used for the construction of the building were brittle.

 “We are not happy with the materials being used for the construction of the upcoming TNSCB apartments at Reddiyarpatti. The contractor should use quality construction materials for constructing the houses for the poor. The quality test will be conducted again after the completion of the project. If the construction fails in the quality tests, the Committee will recommend for appropriate action against the contractor and the officials concerned,” hesaid.

 The members also inspected the Palayam Channel, the swimming pool in the Sports Village on Seevalaperi Road, Armed Reserve Police administrative office and the cardiology section of the super speciality block of Tirunelveli Medical College Hospital.