Mortgaging lakes: Startling revelation from BBMP

Bangalore Mirror: Bangalore: Monday, 08 February 2016.

Most city lakes were not yours until the agency repaid the loan it had borrowed.

Not only has BBMP mortgaged KR Market and other properties of the state for undertaking developmental works in its jurisdiction, it also has taken a loan of Rs 23 crore to develop 14 lakes in the city. Bruhat Bengaluru Mahanagara Palike (BBMP) claims it has repaid Rs 22 crore of the loan, and that by March 2016 all lakes will be debt-free.

In fact, the civic agency took the loans from Karnataka Urban Infrastructure Development Corporation (KUDIC), a government-run nodal agency that co-ordinates the Central and state governments, and local urban bodies. Though the loan was obtained in the year 2010 when Bharatiya Janata Party (BJP) ruled the BBMP, it has only come to light now, after a resident of Jayanagar, Puneeth T, sought the information under RTI (Right to Information) Act. Puneeth wanted details of loans obtained by BBMP in the last 10 years.

In its reply dated January 12, 2016, BBMP said that it had taken a loan of Rs 23.19 crore from KUIDFC under 'Mega city revolving fund' for the development of lakes. Out of this, Rs 22.01 crore has been repaid, which also includes the interest. Around Rs 1.37 crore, BBMP goes on to state, is yet to be repaid but will be paid during the next instalment, in the month of March, 2016.

BBMP also claims almost all lakes for which it obtained loan, have been developed. The loans were obtained during 2010 for eight years and the civic agency has repaid most of them before they were due to be repaid. According to officials, BBMP submitted a project report for 17 lakes. Of these, 14 have been developed, while two - Kalkere and Nayandanahalli lakes - work is in progress. Another lake, in Puttenahalli, has been handed over to the forest department.

BBMP chief engineer (lakes) BV Satish revealed the loans were attained only to develop lakes, and were made available to it at an interest of 5.5 per cent per annum. In fact, he said, a project report was submitted to obtain a loan of Rs 43 crore for the 17 lakes but only Rs 23 crore was taken for their development. "We have already repaid Rs 22 crore, while the remaining Rs 1.37 crore will be paid March," he added.