Sources say that with the attempts of Andhra Pradesh Industrial Infrastructure Corporation (APIIC) to allow a non-starter power company to transfer its shares to another firm is picking up a major controversy with the main opposition TDP approaching Lokayukta seeking justice.
TDP senior leader Somireddy Chandramohan Reddy reportedly urged Lokayukta to restrain APIIC and the state government from getting the shares transferred between the two companies which amounts to violation of original agreement and looting of public money.
The issue is expected to escalate further in the coming days with the companies involved in the controversy owned by former MP and YSRCP leader V Balasoury and industrialist turned Congress MP Naveen Jindal.
The YSR government had reportedly allotted 814.77 acres of land for Kineta power private limited (KPPL) for setting up a ultra mega power plant in Momidi and Tamminipatnam villages in Nellore district in the year 2008 through (APIIC) at Rs 80,000 per acre. However, the company failed to commission the plant. Even CAG had reportedly objected to the way the land was allocated at a low price.
