After paying Rs 26 crore for land 16 years ago, title deed still eludes DRDO

Vijay Mohan

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Tribune News Service

Chandigarh, November 30

Almost 16 years after the Defence Research and Development Organisation (DRDO) had shelled out Rs 26 crore for purchase of land from another government entity, it has been unable to get the sale deed executed in its name.

This has not only raised eyebrows over non-availability of complete land ownership records, but also putting unwarranted land tax liability on the seller.

In March 2005, ITI Limited had transferred 22.945 acres of its land at KR Puram to DRDO, for which it received the entire amount as advance payment. However, the sale deed could not be executed as papers to prove ownership or title for certain pockets of the land were not available with ITI.

Audit scrutiny of the pending transactions revealed that ITI got the required revenue documents in 2012, that is, eight years after the agreement with DRDO and physical transfer of the said land.

ITI Limited, earlier known as Indian Telephone Industries Limited, is a government-owned telecommunications equipment manufacturing and digital security service enterprise functioning under the Department of Telecommunications (DoT).

Later, ITI was referred to the Board for Industrial and Financial Reconstruction (BIFR) for restructuring its organisation and revamping its business operations. In August 2013, DoT directed that requisite clearance should be obtained from BIFR for executing the sale deed.

In 2014, the central government approved a revival package for ITI. In the meantime, orders were issued mandating government approval for sale of land and property even of public sector undertakings. Hence, ITI sought DoT’s approval for sale of land to DRDO, which according to a report tabled in Parliament by the Comptroller and Auditor General (CAG) on November 29, was still awaited.

“In the absence of required approval, though ITI had received the agreed sale value from DRDO and handed over the land, it has not been able to execute the sale deed and register the sale in the name of DRDO. As a result, ITI would be liable for payment of property taxes due on the property,” CAG observed.

On its part, DoT has maintained that all efforts have been put in for obtaining clearance for executing the sale deed in favour of DRDO and it expected that approvals would be obtained soon. The case is being processed for seeking sanction of the competent authority.

“Besides, the disproportionately long time taken to process approvals, the root cause for the delay was the company’s inability to provide documents to prove their title over the land,” CAG pointed out.