ORR lease row: Won’t withdraw legal notice against Revanth, says HMDA

Revanth had alleged the lease amount was Rs 7,380 crore and violations in the tender allotment process caused losses to the government’s revenue.

Hyderabad: Responding to the press note released on behalf of Telangana Congress leader Revanth Reddy, Hyderabad Metropolitan Development Authority (HMDA) said there is no question of withdrawing the legal notice released against him on May 25.

Revanth Reddy had warned that if the legal notice is not retracted, civil and criminal action will be taken against the HMDA commissioner Arvind Kumar.

The Congress MP accused Kumar of assuming a political role instead of fulfilling his official duties. He criticized Kumar’s failure to provide the requested details in the Outer Ring Road (ORR) tender case.

Apart from holding the post of HMDA commissioner, Kumar is also the Special Chief Secretary, of MA&UD (Municipal Administration & Urban Development) to the state government.

The Congress MP had raised concerns over the bid process of the ORR TOT (Toll Operate Transfer) and a 30-year lease term given to a private company approved by the state government.

The MP alleged the lease amount was Rs 7,380 crore and violations in the tender allotment process caused losses to the government’s revenue.

Revanth stated that the ORR exceeded the period set by the National Highways Authority. “Despite repeated requests, Arvind Kumar refused to disclose the details of the tender,” Revanth alleged.

HMDA, in a press note released on Wednesday, reiterated the bid was carried out in the most transparent manner, duly following the laid down norms for the TOT bid of the National Highways Authority of India (NHAI).process.

HMDA also clarified that it is not the first time that a TOT bid is given for 30 years and allegations by Revanth were meant to demoralize their officers.

“A reply to the ‘Right to Information’ query by the Malkajgiri MP was submitted to him within the prescribed timeline and there was no question of withholding any information regarding the ORR – TOT bid process,” said the HMDA.

HMDA further said that it would undertake all necessary actions to protect its officers by moving necessary legal action as deemed.

What is ORR-TOT deal?

Telangana Government in April, announced that it has awarded Nehru Outer Ring Road (ORR), Hyderabad on a Toll, Operate and Transfer (TOT) basis for 30 years to IRB Infrastructure Developers Ltd. for Rs 7,380 crore (USD 0.9 billion) in one of the largest asset monetization deals executed in the country’s road sector.

The 30-year TOT deal is projected to generate considerable money for the state and assist regional infrastructure development.

Arvind Kumar then said that TOT would also assist the Telangana government in leveraging private-sector investment for new infrastructure development.

However, opposition parties alleged a scam in ORR’s TOT deal and demand a rollback.

They questioned why the state government which was supposed to give toll collection right only for two to four years, in this instant case had given it for 30 years.

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