AMARAVATHI: The state government of Andhra Pradesh issued orders permitting the Andhra Pradesh Industrial Infrastructure Corporation (APIIC) to withdraw 253.61 acres of unutilised land, out of the 483.27 acres of land that was allotted to Amara Raja Infratech (P) Ltd to set up Special Economic Zone in Chittoor district.

Special Chief Secretary (industries and commerce) R Karikal Valaven said in the GO that "Keeping the allotted public property idle and vacant is not only a violation of the covenants of agreement of sale and sale deed but is also against public interest and defeats the very purpose of allotment, which is to promote development by creating investment and employment."

APIIC has allocated 483.27 acres of land in Nunegundlapalli village of Bangarupalem Mandal and Majara Kothapally village of Yadamari Mandal in the district of Chittoor to Amara Raja Infratech Limited on sale basis to undertake activities related to SEZ and other developmental activities.

The GO released states that, "Clause 9 (0) of agreement entitles the corporation to cancel the allotment in case of violation of the agreement. The company also submitted an undertaking authorising the APIIC to take back the land if found vacant after the said date (two years). It was noticed that no SEZ was developed in the allotted land till date and the company has utilised only 229.66 acres out of 483.27 acres. Even after 10 years of agreement of sale, 253.61 acres of land is lying unutilised."

Amara Raja company also failed to create employment. So, the APIIC Vice-Chairman, Managing Director issued orders to take over Rs. 60 crore worth 253.61 acres of unused land immediately.