Bhubaneswar: Trouble seems to be brewing for Indian Oil Corporation Limited (IOCL) at Paradip, with the state government slapping a show-cause on it for ‘violation of terms and condition of land lease deed and allotment’.
Orissa Industrial Infrastructure Development Corporation (Idco) – the land regulatory and infrastructure development arm of the state government – has issued a show-cause to the oil refinery over violation of land lease deed June 19 and has directed the public sector entity to comply with its notice within 15 days.
Idco in its notice said the internal approach road, connecting NH-5 A to IOCL plant site crossing Kujanga Road, is an external road and is used by general public.
While the land lease deed states that the IOCL will have the surface right over the land and the customary rights of government and public over the roads, paths and rivers running through or bounding the land are reserved, Idco said, “It has come to notice that, the lessee IOCL is making hindrances on public thoroughfare over the road.”
It is, therefore, construed that IOCL is violating the terms and conditions of the lease deed and allotment of land, Idco said and directed IOCL to show cause as to why appropriate action should not be initiated by Idco for violation of terms and conditions of the lease deed and allotment.
It also warned IOCL that if its reply does not come within 15 days, it would be deemed fit to initiate action for non-compliance.
The IOCL officials, however, could not be reached for their comments.
While, the Corporation is already in a tussle with the government over VAT exemption, the fresh row has further aggravated its trouble.
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