Farmers allege forcible land acquisition by Mangalore SEZ

A special economic zone (SEZ) to be co-developed by a state-run oil company in Karnataka has run into trouble, with local farmers complaining of forcible acquisition. However, the Union commerce ministry, which notifies SEZs, has given a clean chit to the developers, saying that the land in dispute is outside the proposed export promotion zone.

The issue relates to the acquisition of 15 acres of land belonging to marginal farmers and ‘kudubi’ tribals in Dakshina Kannada, a coastal district of Karnataka. This piece of land was being acquired by the Mangalore Special Economic Zone for relocating a village temple from the zone.

“One day, they (referring to Karnataka authorities) came, bulldozed my land which had a standing paddy crop and said that the land had been acquired. I have not been paid any money. Around 80 people depend on that piece of land,” said Sadananda of Permude village, located adjacent to the proposed SEZ.

The Mangalore SEZ is a joint venture between the Oil and Natural Gas Corporation (ONGC), India’s largest oil producer, and the Karnataka Industrial Areas Development Board (KIADB), which hold 26 per cent and 23 per cent stake, respectively. Infrastructure financing firm Infrastructure Leasing & Financial Services and the Kannara Chamber of Commerce and Industry hold the remaining stake in the project, where Rs 35,000 crore is planned to be invested.

The commerce ministry, which had ordered a probe into the allegations, maintains that the land is not being acquired for the SEZ, which was notified in December 2007. “The land is being acquired for resettlement purposes. Had it been for the SEZ, we could have intervened, saying that compulsory acquisition for zones is not allowed. However, we have advised ONGC to increase the compensation for people who lost land,” said a commerce ministry official.

ONGC too claims that the acquisition is not for the zone, but to resettle some temples of Permude village. “The acquired land will fall outside the SEZ which is being developed. Most of the people from whom land was acquired, have been paid (compensation). There are some vested interests who want to create problems for the project,” said A G Pai, Chief Operating Officer, Mangalore SEZ Ltd. He added that people had promised in writing to the company that their land could be acquired for the zone.

Civil society groups, which have been protesting against land acquisition for the Mangalore SEZ, rubbished claims made by ONGC. “The resettlement is supposed to happen in Kolai and Tokur areas located adjacent to the zone, and not in the area where the land was recently acquired. We do not know for whom this land is being acquired,” said Vidya Dinkar of Citizen Forum for Mangalore Development.

Besides, land owners and civil society groups claim that illiterate people of the village were not informed of the land acquisition notification which was issued in May 2007.