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Ramesh Babu, former Congress MLC and chairman of the KPCC Media & Communication Department, has urged the Union government to cancel or defer the proposed e-auction of 44.03 acres of Indian Telephone Industries (ITI) land in Krishnarajapuram, Bengaluru, which has a reserve price of Rs 1,685.40 crore.
In a representation to the Centre, Mr Babu questioned the proposed sale of the prime parcel to private developers under the Central government’s asset monetisation programme. He said the land had originally been allotted by the erstwhile government of Mysore in 1948, free of cost or at concessional rates, for the public purpose of establishing ITI and creating employment.
The National Land Monetisation Corporation (NLMC), on behalf of ITI, has invited bids for the land, located along Old Madras Road and National Highway 75. The last date for submission of technical bids and earnest money deposit is reportedly September 16, after which a forward e-auction is expected to be held.
Mr Babu has also raised questions over the status of portions of the parcel, which are reportedly classified as government land, including kharab land. He has questioned ITI’s authority to monetise such land and sought a joint survey by the Union government and Karnataka government before any sale proceeds.
He has urged the governments to retain the land for a public-sector project, skill development centre, manufacturing or industrial hub, or other public infrastructure that could generate employment.
The representation comes shortly after ITI sold a 21-acre parcel in KR Puram to the Central GST Department for about Rs 914.31 crore. The sale deed for the transaction was registered on July 2, 2026.
The issue has also drawn opposition from Karnataka Chief Minister DK Shivakumar. At the Southern Zonal Council meeting chaired by Union Home Minister Amit Shah in Tamil Nadu on August 20, Mr Shivakumar objected to PSUs auctioning land that had been allotted by the State government, describing it as a “misuse of resources”.
“This morning, I got a call from my officials that ITI (Indian Telephone Industries), which has become non-functional, is auctioning land (in Bengaluru). We give lands to PSUs, and when they shut down or go out of business, they auction the lands. Such lands should be returned to the government, as we have given them the land," Shivakumar said.
