Deals In KSPL, KSEZ On AP Govt Radar

A major fraud has been committed at KSPL and KSEZ during the YSRCP rule and disclosed that they have opted for consulting legal experts on how to curb such illegalities due to their serious repercussions -- N Chandrababu Naidu, CM, Andhra Pradesh

Visakhapatnam: Kakinada, known as Cocanada during British Rule, which gained the reputation as the pensioners’ paradise over the years due to peaceful nature, is hogging the limelight as three key issues pertaining to the smart city are snowballing into major controversies.

As the political temperatures are rising over the recent controversies hitting the headlines in the vernacular and national media, the TDP-led NDA Government in the State has decided to step up its attack after allegedly finding the YSRCP, which was in power for five years from 2019, on a sticky wicket.

Kakinada, a prosperous city in the farm-rich in the Godavari districts, is alien to controversies. With the Jana Sena supremo and Deputy Chief Minister K Pawan Kalyan taking cudgels against the rice mafia after ordering the seizure of a ship for indulging in diversion of rice meant for Public Distribution System (PDS) for the white cardholders, the city is now witnessing a beehive of activity.

The ruling alliance and the YSRCP are now trading charges against each other even as the Criminal Investigation Department (CID) of Andhra Pradesh registered an FIR against YSRCP general secretary and MP V Vijayasai Reddy and Aurobindo Realty & Infra Pvt Ltd Director Sharath Chandra Reddy for coarsening Kakinada Seaports Ltd (KSPL) and Kakinada Special Economic Zone (KSEZ). The FIR was booked after receiving a complaint from industrialist and former Chairman and Managing Director of KSPL KV Rao. He alleged that due to pressure from the YSRCP Government, they had to sell 41.12 per cent share in the port worth Rs2,500 crore for Rs494 crore to the Aurobindo Group.

In the same manner, he said, shares worth Rs400 crore in Kakinada SEZ were given for a paltry sum. He said total properties worth Rs3,000 crore were transferred to the name of the company promoted by the son-in-law of Vijayasai Reddy. He also accused the involvement of the YSRCP MP’s son Vikrant Reddy. GMR Group washing one of the shareholders in the KSEZ.

YSRCP has dismissed the allegations as ‘politically motivated and a move to divert public attention to divert from failures of NDA coalition.’

During a chat with media, Chief Minister N Chandrababu Naidu said: “A major fraud has been committed at KSPL and KSEZ during the YSRCP rule and disclosed that they have opted for consulting legal experts on how to curb such illegalities due to their serious repercussions. We never heard of ruling party leadership’s direct involvement in coercive acquisition of shares in such a dubious methods,” he allegedly and hinted at serious action against those involved in the scam.

Following a personal inspection and complaint by Civil Supplies Minister N Manohar and JSP president Pawan Kalyan, Kakinada District Collector S Shan Mohan confirmed the seizure of West Africa-bound Stella L Panama along with 38,000 tonne of rice at Kakinada Anchorage Port. He said the ship was seized for ascertaining facts on to what extent PDS rice was loaded and to track down exporters involved. A special team constituted by the government is now examining the samples collected from the ship.

Kakinada Anchorage Port is India’s largest exporter of rice. Due to heavy congestion, 10 per cent of the total quantity is being handled at VSPL from 2022. Another new port named Gateway Port is under development at Kona in Thondangi mandal under Tuni Assembly constituency under the jurisdiction of KSEZ.

Farmers in large number are on the warpath for the past several months over forcible acquisition of their lands for development of KSEZ and payment of meagre compensation.