Hyderabad, September 18: The ongoing APIIC-Emaar Properties issue seems to have reached a final stage. Sources said the Department of Industries and Infrastructure (I&I) is drafting the recommendations for the next course of action. They are likely to be submitted to the chief secretary in a day or two.
According to officials, all options are on the table. Neither criminal charges nor a compromise is ruled out. The government will also have an option of asking Emaar to cough up the entire financial loss incurred by the state as a result of the deviations from the original agreement with the APIIC.
Earlier, the APIIC in its report prepared by Delhi-based Singhania & Partners had estimated the quantum of loss to be around Rs 500 crore. “If Emaar is willing to pay up, the government may want to allow it to continue with the project further only after revising the terms and conditions of revenue- sharing,” a senior government official told Express.
In case Emaar agrees to pay part of the fiscal loss incurred by the state, the government will exercise the option of revoking the unused land from the developer. The APIIC had earlier claimed that about 106 acres is still undeveloped in the special purpose vehicle — Emaar Hills Township Pvt., Ltd. Lastly, Emaar can walk out of the project if it fails to pay up the loss and face legal action. “We aren’t ruling out criminal charges, but for that we have to have more crucial evidence and the procedural action for that is yet to be laid out,” the official said.
Sources also said though the APIIC report had proved that Emaar had indeed violated norms, it however, was unclear if it was precisely a case of intentional wrong-doing.
–Agencies