Hyderabad: In a strong response to allegations by BRS working president KT Rama Rao, IT and Industries minister D Sridhar Babu has reaffirmed that 400 acres of land in Kancha Gachibowli belong to the state government, free from any litigation following a Supreme Court order.
Babu emphasized that any insinuation to the contrary is not only contempt of court but also a direct attack on Telangana’s development and job creation efforts.
Followed norms to raise funds from market: Sridhar Babu
Reacting to BRS claims, Babu stated that the state government, through the Telangana State Industrial Infrastructure Corporation (TGIIC), has followed established norms to raise funds from financial markets.
This includes working with the Reserve Bank of India (RBI) and adhering to precedents set by other state governments for capital raising based on state property, he added.
Kancha Gachibowli row: BRS demands Central probe in Rs 10K cr ‘scam’
In October 2024, TGIIC appointed iVAS, a subsidiary of CBRE and an Insolvency and Bankruptcy Board of India (IBBI)-certified valuation consultant, which valued the land at Rs 20,563 crore.
Babu clarified that TGIIC has not applied for any loans from banks, including ICICI, and instead issued rated, listed, senior, secured, taxable, redeemable non-convertible debentures on a private placement basis.
“Several investment and mutual funds have invested in these bonds, with ICICI Bank acting as a partner bank for the transaction,” he added.
The minister stated that the government successfully raised Rs 10,000 crore following RBI guidelines and all applicable laws.
“A direct debit mandate was issued in favor of the RBI for a bond issue of Rs 9,995.28 crore, which was confirmed by the RBI. An independent valuation of the land was conducted by a debenture trustee on behalf of investors, verifying its suitability as collateral,” he added.
‘Dont politicize’: Sridhar Babu to BRS
Babu advised the BRS not to “politicize every issue and to stop opposing Hyderabad’s development.”
He criticized the BRS’s stance as “harmful to democracy and the state”, urging them not to view the public as “enemies” simply because they lost elections.
