Shady Power Deals Come Under Goa Police Scrutiny

Power subsidies offered to industrial units setting up base in Goa have come under police scrutiny, following the arrest of former power minister Mauvin Godinho.

Godinho is charged with having caused losses worth Rs 9 crore to the state government by amending the state's 25 per cent power subsidy rules to give benefits to units which didn't qualify.

Godinho, who was arrested last week, faces charges of corruption, cheating, forgery and criminal breach of trust, in a case registered in 1998.

Goa's BJP government, particularly chief minister Manohar Parrikar, had vigorously pursued this case when he was Opposition leader.

Police said at least 210 industrial units benefited from Godinho's "illegal notification."

 

In 1991, the Goa government had issued a notification announcing 25 per cent power subsidy to units setting up a base here.

Eligibility for the scheme, which was to be valid only till 1995, was to be decided by the industries department.

In March 1995, the government repealed the notification. But, Godinho, it is alleged, issued another notification in May 1996, modifying the already repealed 1991 notification.

Godinho allegedly made several modifications: empowering the power department (instead of industries) to decide on the eligibility of the units.

Police added that no cabinet approval had been taken, and quoted the then CM (Pratapsing Rane) as saying he had not approved the same.

In those days, Goa enjoyed liberal tax holidays and offered subsidies to industrial units setting up base here, leading to suspected cases of corruption and misuse of power by some politicians.

Godinho is currently part of the Opposition, though earlier he shared power with the BJP.