CIDCO at loss in a Kharghar land deal

In a deal of a plot measuring about 5700 sq. m. at Kharghar, the town planning authority of CIDCO has lost crores of rupees for the purpose of  benefiting a known private developer.

The said plot was auctioned last year as a commercial property in a prime residential location of Kharghar. In a recent deal  in June 2010, the developer got it converted as a residential plot and paid Rs. 28.50 lakhs as the fees for the change. The plot was purchased for Rs. 24Crs. which otherwise would have fetched Rs. 43 Crs. if would have been auctioned as a residential plot.

Now with the conversion into a residential plot, the developer can get a benefit of about 100 crores by developing and selling the flats. The Cidco has suffered a  big loss due to such ‘BAD’ deals.

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