In relation to the purported Sports City project “scam” in Noida that cost the state exchequer Rs 9,000 crore, the Central Bureau of Investigation (CBI) has brought several charges against different businesses, their directors, and others, the agency said.

The Allahabad High Court ordered the cases to be submitted.

What is the situation?
Allegations of anomalies in the allocation, development, and approval of Sports City projects from 2011 to 2014 are the subject of these proceedings.

According to reports, the Noida Sport City Project sought to build residential and business districts in Noida’s Sectors 78, 79, and 150 along with top-notch sports facilities.

According to the CBI, the allottees repeatedly violated the associated criteria once the projects were assigned, reportedly with the help of Noida Authority personnel. The anomalies allegedly cost the State exchequer almost Rs 9,000 crore in lost revenue and gave certain developers unfair advantages at the expense of the State.

What was discovered by Allahabad HC?
The Allahabad High Court ordered an ED and CBI investigation earlier in February. The court referred to their developers and consortium members as a “dirty nexus” and placed them under investigation for stealing from homeowners and Noida Authority officials.

The court rendered ten distinct rulings in relation to the matter. Underpriced sites, unpaid lease payments, unlawful ownership transfers, and inappropriate issue of occupancy permits by the Noida Authority despite sporting facilities not being completed were among the errors highlighted by a 2021 CAG audit.

Despite the CAG findings, no action was taken.
According to the CBI, it was also claimed that despite the CAG report highlighting anomalies, the authorities did nothing to address the situation.

In the course of the investigation, the CBI searched many sites in Delhi and Noida, recovering digital evidence and damning papers. The probe agency claims that the matter is now being investigated.