The VMC aims at raising funds up to nearly Rs 48.06 crore by the auction of land at prime locations. The area was earlier earmarked for community use. The anti-encroachment drive is being carried out to make the plots buyer-friendly and to ensure that they fetch higher bidding value.

Though only four days are left for the auction, one of the 16 earmarked plots for auction in the Sama area is under a cloud of controversy, following opposition by the residents. A sports complex and a health centre was to be constructed at the site, but the VMC authorities did not take any step for setting up these community activity centres.

Defending their decision, the officials and senior BJP councillors said that the VMC general board approved the change in usage of the plot. Sources said that nearly 11 bidders have plans to develop the area for commercial purposes. The civic authorities have remained tightlipped on accusations that the auction will result in a dearth of space for community activities in the city.

Of the 16 plots, over half of them are priced above Rs 1 crore. The highest minimum bidding amount is Rs 17.64 crore for the 19,601 sq metre plot located opposite Town Down Motors in Nizampura. The plot at New Sama Road also commanded a minimum bid amount of nearly Rs 8.58 crore.

The VMC Mayor said, “All the plots undergoing auction have been cleared by VMC general board after agreeing upon the change of usage.” The Nizampura plot was earlier earmarked for developing a transport facility. A plot attracting a minimum bid amount of nearly Rs 5.71 crore in Karelibaug was meant for the construction of a school.

The VMC has managed to clear encroachments in nearly six plots. Officials have been directed to keep an eye on fresh encroachments at the sites. Security director B M Pardeshi said, “We have cleared encroachments on all the plots.”