Cong leader expresses concern over new investment policy

A Congress leader today expressed concern over the new investment policy which allows foreigners to buy property in India, saying it would be "disastrous" for small states like Goa.
In a statement, Goa MP Shantaram Naik said foreign investors with meagre investments, will be able to grab properties in states like Goa.
He said it would also put in jeopardy the key issue of special provisions under Article 371 which Goa is demanding.
As per the policy announced earlier this week, the government will offer residency permits of upto 20 years to foreigners willing to invest Rs 10 crore over a period of 18 months or Rs 25 crore over three years, the Rajya Sabha member said.

Investors would also be allowed to buy one residential property and their spouses and children can work or study in the country, he said.
Naik said Goa is a small state and the land available is limited.

"Foreigners will be willing to make Goa their home by investing a few crores in the state or anywhere in the country for that matter, and, if this happens, it will be disastrous for Goa," he said.
He said it is not clear whether the provisions for the new visa regime are going to be incorporated in the Foreign Exchange Management Act or some executive instructions are going to be incorporated in the Visa Rules.

Naik claimed that Prime Minister Narendra Modi was doing "more harm than good" without such sensitive matters being discussed in the Cabinet before making commitments abroad.
He recalled that there is a pending demand of Goans for a constitutional amendment to Article 371 to authorise Goa Assembly to enact a legislation to protect its land and culture.
"This was thought necessary as foreigners, misusing and misinterpreting the provisions of FEMA, are doing business in Goa. Some land sharks from Delhi and Mumbai are also making 'encroachments'," Naik added.