Yanam power plant: Plea moved against Reliance Industries

The plea also sought a direction to conduct a special audit on the Rs 38.64 crore reportedly spent by RIL towards Corporate Social Responsibility (CSR) in Yanam region.

A division bench comprising Justice M Sathyanarayanan and Justice P Rajamanickam on ordering notice to both the Centre and Puducherry Government posted the plea for further hearing to December 10.

Sunkara Karthik of Gopal Nagar in Yanam had submitted that RIL being a designated operator for natural gas extraction in Krishna Godavari Basin had signed an MoU with Puducherry Government on August 23, 2006 for laying the pipeline, and also establish offline Block Valve station for their operations. While Puducherry Government provided land and all the facilities, RIL in turn agreed to supply natural gas so that a 250 MW power plant can be set up for power generation to cater to Yanam Region and provide gas network connection to domestic, industrial and commercial consumers in Yanam.

But contrary to expectations, while RIL extracted all facilities from the Puducherry Government it failed to adhere to the MoU signed by it. Even while a signature campaign failed to evoke any response, a query through Right to Information Act (RTA) about the proposed project led to RIL claiming that the project is the duty of the Centre and State and that they have no stake in it, the petitioner submitted.

Similarly, large scale misappropriation has also come to light in Rs 38.64 crore reportedly provided by RIL for development of Yanam region. Citing various projects like constructing an Eiffel tower like structure at a cost of Rs 25 crore and many others nothing concrete has been done as per the CSR arrangement, the petitioner alleged.

He also noted that while RIL has claimed to have spent Rs 3.26 crore for a bypass road in Kanakalapeta, the government through the PWD has claimed to have spent Rs 3.42 crore for the same road. Similar, such misappropriations have come forth in the amount spent for the Yanam sports complex and Yanam Municipality, the petitioner added, stressing on the need for a proper audit.