Idukki: The controversial purchase of five acres of fragmented Churakulam estate, for developmental activities, has landed 21 governing committee members and the secretary of the LDF-ruled Kumily panchayat in a soup. The Idukki District Audit Office, under the State Audit Department, has recommended that a total compensation of Rs 6.39 crore, which was the amount spent to purchase the plot, be collected from the committee members and the local body secretary.

The audit report, which was released on an RTI filed by the complainant Sajimon Salim, stated the explanation given by the panchayat secretary over the glaring anomalies found during auditing was not satisfactory. The report further stated the estate could not be used for construction and developmental activities as per the provisions of the Kerala Land Reforms Act, 1963, and that it has to be maintained as a coffee estate.

“Hence, it can be inferred that the Rs 6.39 crore spent to acquire the plot has been squandered by the local body,” stated the report. According to the auditors, Rs 30,46,183 would have to be collected from each local body member to meet the compensation amount.

Though the panchayat secretary claimed that the steering and procurement committees recommended the purchase of the land, the audit officers rejected the same stating that the decision to purchase the plot was taken without discussing the committees' recommendations.

The report also stated that the procurement committee, which is meant for purchasing commodities and services for the panchayat did not have the power to take a call on land purchase. The procurement committee decided to buy the land without forming a mandatory search committee as directed by the state government or the governing council's nod.

The land was purchased to construct a buds school, a town hall, an ayurveda hospital, a mini stadium and a new panchayat office. In his explanation, the panchayat secretary claimed that the district planning officer, joint director LSGD and heads of the concerned departments had inspected the land and given a suitability certificate. However, the audit report states that other than the joint director of LSGD, no official from any department mentioned inspected the purchased land or issued a suitability certificate. It also stated that there was no proper advertisement given as a tender to purchase the land. Only those persons from whom the land was purchased came up with offers.

The report also rejected the secretary’s claim that the land purchase procedure was expedited as the delay might have led to the lapse of funds at the end of the financial year. The auditors, however, said this could not be cited as a reason for violating the rules and that other than developmental funds, financial commission grants and own funds could be carried forward to the next financial year.

Kumily panchayat president Rejani Biju was not available for comment. “We have not discussed the audit report in the governing council. The council will discuss it and a decision will be reached on further course of action,” said panchayat vice-president Saddiq K M.

Opposition leader Robin George of the Congress said he had sought the legal opinion from a High Court lawyer before the land was bought. However, the panchayat took the opinion of the district pleader and consent was given for land purchase.

“It is a land scam. The estate surrounding the five acres of land purchased by the panchayat was bought by ward members of the ruling front and their benamies (proxies). The village records showed that the land was in the 'residential category' and that's why we did not object to the purchase. Now, we are planning to move the High Court citing that the decision to purchase the land was taken by the steering committee which included only members of the ruling front and that members of the opposition should be exempted from paying the compensation amount,” said Robin.

He also said that after the ruling front purchased the estate land, the fragmented plots were sold for Rs 1.5 to Rs 2 lakh, higher than the existing price of Rs 1.28 lakh.

“This is a waste of public money. The category of the land to be purchased is mentioned as 'estate land' in the records of the Taluk office. The title deeds of the purchased land also show it as estate land. I will go to any extent to ensure those responsible are brought to book,” said Sajimon Salim.

The Vigilance Court in Muvattupuzha had found the graft charges against the local body members, prima facie, punishable in November 2023.