Former Congress MLC Ramesh Babu has urged the Centre to cancel the proposed e-auction of 44.03 acres of ITI land in Bengaluru, citing its historical allocation for public employment.

  • Congress has sought the cancellation of the ₹1,685.40 crore e-auction for 44.03 acres of ITI land in Krishnarajapuram, Bengaluru.
  • The land was originally allotted by the Mysore Government in 1948 for public welfare and employment.
  • The National Land Monetisation Corporation (NLMC) is overseeing the bidding process.
  • Karnataka CM D.K. Shivakumar has previously flagged such land auctions as a 'misuse of resources.'

A major political standoff has emerged over the proposed e-auction of 44.03 acres of land belonging to Indian Telephone Industries (ITI) in Bengaluru's Krishnarajapuram. Ramesh Babu, former Congress MLC and Chairman of the KPCC Media & Communication Department, has formally approached the Central Government to defer or cancel the auction process.

The land, located strategically along Old Madras Road and National Highway 75, carries a massive reserve price of ₹1,685.40 crore. The National Land Monetisation Corporation (NLMC), acting on behalf of ITI, has already invited technical bids, with a deadline set for September 16, 2026.

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Historical Context and Legal Concerns

The crux of the opposition lies in the historical provenance of the land. Mr. Babu argued that the parcel was originally allotted by the erstwhile Government of Mysore in 1948. The allotment was made either free of cost or at highly concessional rates, specifically to facilitate the establishment of ITI and to serve the public purpose of large-scale employment generation.

Furthermore, the representation raises critical questions regarding land classification. It is reported that portions of the site are classified as 'karab' land—a type of government land—leading to disputes over whether ITI possesses the legal authority to monetize such specific parcels under the Central government’s asset monetization programme.

Why This Matters

BozokMedia analysis shows that this conflict highlights the growing friction between Central asset monetization strategies and State-level land rights. The sale of prime urban land to private developers could permanently diminish the capacity for future public-sector industrial hubs or skill development centers in the region.

The sale of state-allotted land by PSUs represents a significant misuse of public resources.

This demand follows a recent transaction where ITI sold a 21-acre portion of the same area to the Central GST Department for approximately ₹914.31 crore. The political temperature has risen significantly, especially after Karnataka Chief Minister D.K. Shivakumar expressed strong objections during the Southern Zonal Council meeting, chaired by Union Home Minister Amit Shah.

Did You Know?: The disputed land is situated in a high-growth corridor near National Highway 75, making it one of the most valuable real estate parcels in Bengaluru.

Frequently Asked Questions

1. What is the main reason for the Congress protest?
Congress argues the land was meant for public industrial use and employment, and selling it to private entities violates its original purpose.

2. Who is managing the auction?
The auction is being conducted by the National Land Monetisation Corporation (NLMC) on behalf of ITI.