Riteish Deshmukh and his wife Genelia have courted controversy over the allocation of a plot in their home town of Latur in Maharashtra. (Instagram/Ritesh Deshmukh)Bollywood actor Riteish Deshmukh and his wife Genelia have courted controversy over the allocation of a plot for an agro-processing unit in the Maharashtra Industrial Development Corporation (MIDC) area in their home town of Latur in Maharashtra.
The Bharatiya Janata Party (BJP), which obtained the information about the land allocation under the Right to Information (RTI), has alleged Riteish Deshmukh and Genelia Deshmukh were accorded special favours by the state government. The company Desh Agro Pvt Ltd, in which Riteish and Genelia Deshmukh are partners with equal shares, has denied the allegations as “baseless and factually wrong”.
Riteish is the son of the late former chief minister and Union minister Vilasrao Deshmukh. He is also the brother of former Congress minister Amit Deshmukh.
The MIDC allotted the land to a company Desh Agro Pvt Ltd, in which Riteish and Genelia Deshmukh are partners with equal shares, at a concessional rate of Rs 605 per square metre within three weeks of its formation. The application for land was processed within 10 days. The company with a share capital of Rs 7.50 crore was set up for processing soybean.
The BJP Latur district unit president Gurunath Mage said, “We are not targeting Deshmukh because he hails from a Congress family. Our objection is to the violation of rules. We are exposing the process of nepotism and out-of-turn allocation which is wrong.”
According to Mage, “There were 16 applications pending for the last three to four years. Why did Deshmukh whose company came into existence three weeks before the land was handed over considered on priority? Why were those 16 applicants denied?”
While indicating the allocation details were sourced by the BJP under RTI, he said, “The matter should be probed and corrective action is taken.”
Another objection raised by the BJP relates to the process of finance for the company. Mage pointed out, “The district cooperative bank disbursed Rs 116 crore to Deshmukh within five months.” The Latur District Cooperative Bank was controlled by his uncle Diliprao Deshmukh, he alleged.
A state BJP vice-president requesting anonymity said, “It is a blatant misuse of power. There are strict guidelines on how and to whom the funds can be given. The funds from a cooperative bank are for cooperative units. Have they adhered to all stated parameters before allocating such huge funds?”
While admitting MIDC plots are given for industrial units on concession, BJP officials also wondered why more competent and deserving applicants were dismissed and why Deshmukh, who had just floated a company, was given the land out of turn.
A Latur district Congress official, close to the Deshmukh family, said, “The BJP has always seized some opportunity to target the Deshmukhs. And this is nothing new. It is politics. Moreover, anybody is free to apply for and seek loans. If they have an objection they can question it. But why tarnish their image?”
A statement from Desh Agro Pvt Ltd administrative officer Dinesh Kesare said the MIDC plot was allotted “as per stipulated norms on lease responding to the application.” “Both Riteish and Genelia Deshmukh are law-abiding citizens. The allocation of loans by the financial institution is also in accordance with the laid rules. All the allegations are baseless. They are factually wrong. The stated objective of the company is to promote the agri industry. It has been set up for processing soybean and special products of soybean.”