PRESS RELEASED BY SMT. NIRMALA SITHARAMAN (NATIONAL
SPOKESPERSON OF BJP) ON BASELESS ALLEGATION MADE BY SHRI
ARVIND KEJARIWAL
The BJP completely rejects the baseless allegations made during a press
conference by Shri Arvind Kejariwal of the Aam Admi Party on various issues
related to the Gujarat government in general and Shri Narendra Modi in particular.
Most issues raised by Shri Kejriwal have been investigated by the Shri M.B. Shah
Commission. This Commission which was set up under the Commission of
Enquiries Act and only recently the Commission has submitted its report and the
Cabinet has accepted the report.
Following in the tracks of the Congress Party, on the issue of the GSPC – KG
Basin, Shri Kejriwal is also looking for a scandal where one doesn't exist. Every
contract issued or any contract cancelled are done with prior information of the
Directorate of Hydro Carbon. So was it done in this matter too. This contract was
cancelled in the year 2010. Not a rupee was given out to anyone in this matter.
On land allocation in Gujarat for SEZs, questions have been raised. Gujarat
adopts a transparent policy on valuation of land. Every allotment goes through an
elaborate process before finalisation.
First, a District Evaluation Committee evaluates the land. Then the Chief Town
Planner counter checks it at the State head quarters. Then a high level
Committee of Secretaries finalise the valuation. After this, a report is sent to the
Cabinet for its approval. Even at that stage every effort is made to match the
valuation with the market valuation of a neighboring land. In this process the
district administration also participates.
Thus there is an elaborate process which oversees such operation. In the year
2011 the Hon. Supreme Court had applauded the transparent process which is in
place in Gujarat. The apex Court dismissed a PIL on the allotment of Gauchar
lands.
It is of importance to put on record here that land was given away at throw away
prices by some earlier governments, sometimes even arbitrarily. Shri Shankar
Singh Vagela's government had given away 33 lakh square meters of land at
Re.1/sq mtr. In one instance when the then Finance Minister had tried to give
away 1.5 lakh sq mtrs of land at Re 1/sq mtr, the then Chief Minister Shri Vaghela
overruled the Finance Minister and enhanced the allocation from 1.5 lakh sq mtrs
to 3 lakh sq mtrs. All this without a transparent process of valuation. The process
which prevailed then was completely arbitrary. The allotment at Re 1/sq mtr is not
a feature under Shri Narendra Modi.
Lands in Kutch given for SEZ are non cultivable, waste land, which get
submerged during high tide. Due permission have also been obtained for them
under the Coastal Regulatory Zone rules. We wish to assure that no land has
been acquired from farmers by the Government of Gujarat for Adani.
Lands given to Adanis for Port and Port back-up are on 30 years lease. Every
year the lease rent is changed. After 30 years, this developed land will come back
to the Government -ie to the Gujarat Maritime Board.
Lands in Kutch cannot be compared to lands in Gandhinagar, an urban area
where land is scarce.
Another issue about allotting lands for residential purpose in Gandhinagar for
MPs, MLAs, judges and bureaucrats has been raised by Shri Kejriwal. It is a
scheme which has existed in Gujarat from Congress' days. In the last five years
Shri Narendra Modi has stopped giving plots to MLAs and MPs at concessional
rates. This matter is sub-judice, in the Gujarat High Court.
Land given to judiciary was a step taken by earlier governments.
Allegations have also been made about power purchasing agreements. A few
facts in this regard :
1. The Gujarat Urja Vikas Nigam Ltd (GUVNL) signed an agreement with
Adani Energy & Power on 02-02-2007.
2. Power was to be bought/supplied at Rs 2.35 per unit.
3. This rate then and even now is the lowest.
4. The rate of Rs 2.35 per unit still stands.
5. For want of environment clearance the coal from Naini coalfield allocated to
Gujarat could not serve the purpose.
6. Adanis, because they are importing coal, claimed loss and appealed to the
government of Gujarat for raising the price per unit. The Gujarat
government refused flatly.
7. Adanis appealed to the Gujarat Electricity Regulatory Commission – GERC.
Even they rejected their appeal.
8. Furthermore the Appellate Tribunal, in Delhi, an appeal of Adanis as per the
Electricity Act, also rejected their appeal.
So allegations on this count are completely false.
The BJP states firmly that all assumptions and conclusions drawn by Shri Kejriwal
are false and baseless. Gujarat is in the process of elections to its legislative
assembly. Allegations at this time can only be politically motivated.
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Harshad Patel,
Co-Convener, Media Cell,
Gujarat BJP
Press Release
In Gujarat elections, Modi and Congress “appear” to be politically pitched against each other. But documents reveal that behind the curtains, they are happy doing business with each other and with same set of people.
Modi “gifts” away 20% of GSPC’s stake
(10% of it given to Shobhana Bhartia’s husband’s company. She was nominated to Rajya Sabha by Congress):
Gujarat State petroleum Corporation (GSPC) is an oil and gas exploration company of Gujarat Government. GSPC acquired gas blocks in KG Basin in August 2002. According to government’s own estimates, the gas fields allotted to GSPC were worth $20 billion.
Modi government entered into production sharing agreements with Geo Global and Jubilant Enpro Pvt. Ltd. Modi gave away 10% of participating interest to each of these two companies completely free of cost. In turn, Geo Global was supposed to provide technical assistance. The first question is – how were these two companies identified? According to records, it was not through any competitive bidding. These two companies were simply given away the participating interests in these gas fields free of cost.
What is the value of benefits given to Geo Global and Jubilant Enpro Pvt. Ltd?
Mukesh Ambani’s Reliance is an operator of gas fields in the same area. Mukesh Ambani invited British Petroleum last year to provide technical assistance and entered into a similar production sharing agreement giving 30% stake to British Petroleum (BP). Mukesh Ambani’s fields were valued at $ 24 billion at that time. BP had to pay $ 7.3 billion (Rs 35,000 crores) to acquire 30% stake and to provide technical assistance.
In sharp contrast, Gujarat government gifted away 10% stake to Geo Global and Jubilant Enpro Pvt. Ltd each. Therefore, the value of this “gift” given by Modi Government would be Rs 10,000 crores to each of the two companies.
Who is Geo Global?
Geo Global was incorporated just six days before their agreement with GSPC. On the day of the agreement, its total capital was $ 64 (Rs 3200) only. The company is owned by some Jean Paul Roy. So, from Rs 3200 worth company, it became a Rs 10,000 crore worth company within six days.
Whereas Modi government is trying to defend its agreement with Geo Global saying that Geo Global provided technical expertise, Geo Global in its own admission to Securities and Exchange Commission in US has said that it does not have the necessary expertise. CAG has raised serious doubts about Geo Global’s technical competence. In fact, the “technical expertise” provided by Geo Global was so flawed that, according to CAG, Gujarat government had to hire another technical consultant.
Therefore, the sole purpose of this transaction seems to be to gift oil fields worth Rs 10 thousand crores and to gift 10% profits of GSPC to Jean Paul Roy.
Interestingly, GSPC has spent $ 3 billion as cost of exploration. Since Geo Global has 10% stake, 10% of this cost i.e. % 300 million (Rs 1500 crores) should have been borne by Geo Global. However, Modi government paid this money on their behalf and did not recover it from them.
Why did Modi do that? Who is Jean Paul Roy? What is Modi’s relationship with Jean Paul Roy?
Congress partners with Modi in this loot:
The following three points indicate how Modi and Congress are joint partners in this business:
1. Who is Jubilant Enpro Pvt. Ltd? Jubilant Enpro Pvt. Ltd is owned by Shyam Sunder Bhartia, who is husband of Mrs Shobhana Bhartia. Mrs Shobhana Bhartia was nominated to Rajya Sabha by Congress. She has been known to be extremely close to Congress and Gandhi family.
Isn’t it strange that Modi grants a Rs 10,000 crore illegal benefit to someone so close to Congress? Isn’t it strange that Congress keeps mum about Modi’s scam for so many years?
2. When CAG started its audit, Modi government perhaps got scared. So, they recommended to the Central Government on 18 Aug 2010 to cancel the agreement with Geo Global. Interestingly, despite tens of letters and reminders to the central Government, UPA government is not giving permission to cancel the agreement with Geo Global. Why? Is Jean Paul Roy related to Congress also?
3. Interestingly, Jean Paul hasn’t received benefits from just Modi in Gujarat. He has received similar illegal benefits from UPA government at centre also. A look at Geo Global’s website shows that Geo Global received its first contract from Modi government in February 2003. Subsequently, on the basis of that contract, Jean Paul has entered into several production sharing contracts in KG Basin, Cambay Basin, Deccan Syneclise Basin and Bikaner Nagaur basin. Many of these contracts have been entered into with OIL, which is a Central PSU. The contracts with OIL happened during UPA’s regime.
Therefore, Jean Paul Roy seems to be both Modi’s and Congress’ man.
Modi buys peace with Congress and Judiciary
Gujarat Government has been allotting plots of land to its MPs and MLAs in prime areas of Gandhinagar. The plots have been allotted at highly concessional rates of Rs 45 per sq mtr. The plots were allotted so that the MPs and MLAs could construct their houses on these plots. But most of them have sold these plots at much higher rates.
Why did the Congress, which is the Opposition Party, not raise its voice against this scheme? Because MPs and MLAs from Congress also have got plots and they have also benefitted from this scheme.
This matter was challenged in Gujarat High Court. Gujarat High Court stayed the sale of these plots. In order to keep the judges also happy, Modi gave concessional plots to all the sitting, retired and promoted judges of Gujarat High Court in April 2010. Barring a few judges, all the other judges accepted this Modi’s offer. Since then, this petition has not been heard by Gujarat High Court. The MPs and MLAs are openly selling their plots despite Gujarat High Court ban on sale.
Has Judiciary been effectively silenced?
If Congress is Mukesh Ambani’s dukaan, then is Modi government Adani’s dukaan?
In 2007, Gujarat needed electricity. Modi government was buying it from Adani on temporary basis at Rs 5.45 per unit. Modi government decided to enter into long term power purchase agreements, which would be cheaper. It called for bids. The bids were manipulated to favor Adanis. Gujarat High Court passed a stinging order against Modi Government for brazenly manipulating the bidding process and for favoring Adanis.
In February 2007, Gujarat government entered into two agreements with Adanis to supply electricity at Rs 2.35 and Rs 2.89 per unit respectively.
Interestingly, two months before this, Gujarat Mineral Development Corporation (GMDC), which is Gujarat Government PSU, had offered to the Gujarat Government to supply electricity at the rate of Rs 2.25 per unit. This was much cheaper than what Adanis were offering. GMDC had its own coal blocks and it had offered these coal blocks to KSK Energy Ventures Ltd, who in turn agreed to supply electricity cheaper at Rs 2.25 per unit.
Rather than accept GMDC’s offer to supply cheaper electricity, Modi government decided to purchase electricity at much higher rates from Adanis. Why did Modi do that?
A few days after signing the agreement, Adani started blackmailing Gujarat government. They refused to supply electricity till they were supplied coal by Gujarat Government. GMDC said they would be happy to supply coal if Adanis agreed to supply electricity at reduced rates of Rs 2.25 per unit, the rates at which KSK was supplying electricity, who was receiving coal from GMDC.
Rather than reprimanding Adanis and cancelling their contract for this blackmail, Modi personally intervened. Mr Jose, the Chairman of GMDC was transferred out. GMDC was asked to supply 50% of its coal from Naini block to Adani. Extracts from file noting made by Mr Modi:
“M/s Adani had been given a commitment by GMDC for coal to be provided by them from the Morga –II mines project for a 1000 MW plant on the basis of which M/s Adani in turn submitted his bid in the competitive tariff bid at GUVNL at Rs 2.35 at Gujarat bus bar. In other words, a commitment of GMDC exists towards M/s Adani. Therefore, it is suggested that the 50% of Naini block of 1750 MW can be considered to be given to M/s Adani with GMDC as the mine developer.”
The above file noting made by Mr Modi is completely false. GMDC did not make any commitment, whatsoever, to Adani.
Despite this, Adanis unilaterally cancelled their contract for supplying power in 2009. Gujarat government in turn started buying same electricity from Adani under short term contracts at Rs 5.5 per unit.
So, in effect, Adanis walked away with coal blocks without supplying the electricity at cheaper rates.
Therefore, Modi’s love for Adanis cost Gujarat people very dearly. All these years, the people of Gujarat were forced to pay much more for electricity.
Finally, Gujarat government had to enter into power purchase agreements with other parties at much higher rates.
Adanis granted land at throwaway prices:
Modi has allotted 14306 acres (roughly 5.67 crore sq meters) of land to Adanis in Kutch area itself. This land has been transferred to them at rates ranging from Re 1 per sq meter to Rs 32 per sq meter for SEZ. In fact, most of the land has been allotted at less than Rs 10 per sq meter. Most of the land is allotted in Mundhra village, where the market rate is Rs 200 to Rs 315 per sq meter for industrial use and Rs 1000 to Rs 1575 per sq meter for commercial use. If we take Rs 10 per sq meter as the average price at which land has been given to Adanis and if we take Rs 300 per sq meter as the average market price, it means that Modi has given an illegal benefit to Adanis to the tune of Rs 1600 crores.
Similarly, Modi has allotted land to Adanis in many other parts of Gujarat at throwaway prices.
However, when Indian Air Force asked for land from Modi, IAF was charged 8 times the market rate. IAF was offered 100 acre land at Rs 8800 per sq meter. It is only after PM’s personal intervention that rates to IAF were reduced.
(All documents pertaining to the case have been uploaded on our website http://aamaadmiparty.org/Services/DisplayNews.aspx)
