AP cabinet panel to recommend cancellation of land to Vanpic

An Andhra Pradesh Cabinet sub-committee looking into "corrupt" deeds of the previous Congress government decided to recommend cancellation of land allotted to Vanpic ports and also take back over 6,000 acres already handed over to the company.
The Cabinet sub-committee met here today under the chairmanship of Andhra Pradesh Finance Minister Yanamala Ramakrishnudu and discussed Vanpic and other projects, Information and Public Relations Minister Palle Raghunatha Reddy said here.
In 2008, Vanpic was allotted 18,878 acres of land by the then Y S Rajasekhara Reddy government in Prakasam and Guntur districts along coastal Andhra Pradesh to develop two ports at Vadarevu and Nizampatnam, as well as an industrial corridor connecting the two ports.

The deal is under the scanner in connection with Y S Jagan's illegal assets case and Vanpic's promoter Nimmagadda Prasad was arrested by the CBI after which he was released on bail.
The government handed over 6,608 acres of land to the company but no development activity has been taken up so far, the minister said.
"First, it was supposed to be taken up as a government-to-government venture on a

build-own-operate-transfer basis. Later private players joined and the government gave away absolute ownership to them," the minister said.
He said that the company had violated all terms related to the project and also transferred shares to other companies without even starting any activity.

"In view of all this, the Cabinet Sub-Committee decided to recommend cancellation of the memorandum of understanding and take back land allotted to Vanpic," the minister said.