Andhra Pradesh High Court gave interim stay on the GO 33 issued by the State government permitting the AP Industrial Infrastructure Corporation (APIIC) to take back the 253.61 acres of land allotted to the Amara Raja Infratech Private Limited in Chittoor district. The industries department, which issued the GO on June 30 to take back the land, cited that apart from not utilising the land for almost 10 years, the company has not fulfilled its promise to invest `2,100 crore with a potential employment generation of 20,000.
“The actual employment achieved so far is only 4,310,’’ the GO read. The State government wanted to take back the land due to its non-utilization by the company within the stipulated two years of execution of the sale agreement.
Amara Raja Infratech (P) Ltd, in its arguments before the High Court, said that it had invested `2,700 crore on the project, which is more than the agreed investment amount. The company also maintained that they have provided employment to more than what they promised in the agreement and they did not violate any agreement norms.
Andhra Pradesh High Court Justice D Ramesh, who heard the case, issued orders suspending the GO temporarily and asked the respondents to submit full details before the court. In 2010, the APIIC had allotted 483.27 acres of land spread over Nunegundlapalli village of Bangarupalem mandal and Kothapally village of Yadamari mandal in Chittoor district to Amara Raja Infratech (P) Ltd on sale basis to take up activities pertaining to a Special Economic Zone (SEZ) and other developmental activities, including Digital World City.
Opposition TDP cried foul and accused the ruling YSR Congress government led by chief minister YS Jagan Mohan Reddy of targeting the businesses of the Opposition lawmakers, and a political vendetta also used to coerce defections.
Amara Raja group of Lok Sabha member Jayadev Galla’s family with 16 different sectoral businesses employ nearly 17,000 staff and reported $1.35 billion in revenues in 2019. Some of the prominent businesses include storage batteries, automotive batteries, industrial batteries, automotive components, electronics, power projects, infrastructure, food and beverages, among others.