The Forum for Good Governance (FGG) has appealed to Chief Secretary Somesh Kumar to take steps to halt the ongoing constructions at the erstwhile Padmalaya Studios and hand over the case to DG - vigilance & enforcement for ‘fixing responsibility’ on officials involved in allowing multi-storied constructions on a land alienated originally for the studio for development of film industry at a ‘throw away’ price.
In a communication to the Chief Secretary, a copy of which was released to the media, FGG secretary M. Padmanabha Reddy stated that the government had allocated 9.518 acres in Survey No. 403 in Shaikpet village for Padmlaya Studios at a price of ₹8,500 an acre when the official price was ₹20 lakh as per the sub-registrar.
But, the studio management, despite being clearly mentioned in the transfer deed that the allocated land can be taken back if the conditions of the alienation are violated, sold 5.53 acres to Zee Telefilms for commercial purpose, much against the conditions listed. This agency in turn sold the land to Phoenix Residences Pvt. Ltd., took permission from the Greater Hyderabad Municipal Corporation (GHMC) and took up construction of commercial buildings, he charged.