Wednesday, July 05, 2017

CIDCO grounds AI's plan to sell two plots

Mumbai: City and Industrial Development Corporation (CIDCO) and Air India are locked in a battle over two plots in Vashi, Navi Mumbai. CIDCO had allotted the plots to Air India and erstwhile Indian Airlines for employee housing in the 1980s. Though, the plot allotted to Indian Airlines has been re-acquired, Air India is claiming ownership over both and wants to utilise them in its disinvestment process.

According to sources, Air India Chairman and Managing Director Ashwani Lohani held a meeting with Maharashtra Chief Secretary Sumit Mullick asking him to intervene in the matter. Mullick said, "AI and civil aviation ministry officials did approach me to discuss the issue.''

Air India was allotted 11 hectares of space behind the Navi Mumbai Municipal Corporation, along Amra Marg, and Indian Airlines was given 9.50 hectares.

These plots are prime properties now and according to CIDCO officials, each is easily worth Rs 1,000 crore.

CIDCO Managing Director Bhushan Gagrani said, "AI developed 35 to 40 per cent of the plot and Indian Airlines kept it unused for three decades. Since they didn't use the plot within the stipulated time, we re-acquired it."

According to CIDCO, they can reacquire any plot that has not been developed within its stipulated time.

In case of Indian Airlines, there was no official handover of possession letter, but only an allotment letter. And since the plot was lying vacant since allotment, CIDCO's board of directors passed resolutions in 2007 and 2010, asking for the land to be reclaimed. Despite this, the land was only recently reacquired. Air India is staking claim over both plots.
05/07/17 Yogesh Naik/Mumbai Mirror

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