THIRUVANANTHAPURAM, December 23: The reported central clearance to the promoters of Mumbai-based Leelaventures for developing the proposed Kannur international airport has come as a surprise for the Kerala government. The state government, though keen on setting up an international airport at Kannur, is totally in the dark about any progress in New Delhi in regard to the proposal. A spokesman of the state government strongly denied the reported role of Leelaventures Ltd in the proposed airport project.

"Leelaventures or its chairman Krishnan Nair is nowhere in the picture," a source in the chief minister's office told -- The Financial Express here. "Even if the Centre has cleared the proposal for a fourth international airport in Kerala, there are several procedures and formalities to be followed, before entrusting the work to a private agency," the source said.

The state government is unaware of any such development, the source added. Many eyebrows were raised in the state capital when Delhi-based reports appeared in a section of the media on early last week, quoting chairman of Hotel Leelaventures. The promoters of the group, the Nair family, had received government clearance for developing an international airport at Kannur in association with the state government under build-operate-own- transfer (BOLT) scheme.

According to Nair, Leelaventures is diversifying into the infrastructure sector with the Kannur airport project which is expected to cost Rs 250 crore. The project will have an initial equity base of Rs 150 crore, with the state government and financial institutions bringing in the balance. Nair is reported to have disclosed in New Delhi that the airport was likely to be named after the late CPM leader AK Gopalan.

A top Kerala government official dealing with development of airports said that neither formal nor informal talks had been held so far with Leelaventures or with any other private agency by the state government on the proposed Kannur airport. No representative of Leelaventures had approached the state government either, he added. This was also confirmed by the chief minister's office.The official who had been to New Delhi recently was told by the civil aviation ministry and the Airports Authority of India that they had not till date considered a fourth international airport in Kerala. An international airport at Kannur, however, has been a pet project of chief minister EK Nayanar and the Malabar lobby in the CPM which heads the ruling Left Democratic Front in the state.

There have been allegations that the development of Thiruvananthapuram airport was getting sidelined due to the over-enthusiasm of the chief minister in promoting the Kannur airport project. The proposal also has the strong backing of union civil aviation minister PM Ibrahim.

Nevertheless, the chances of the state having a fourth international airport is being ruled out by official circles. With elections having been ordered, the proposal will have to be in the cold storage, in spite of the personal interest shown by the chief minister and the civil aviation minister. "The Kannur airport project is most unlikely to take off if Ibrahim is not back again as civil aviation minister, after the elections," said a source.

Meanwhile. the Kerala assembly was told by chief minister Nayanar recently that the Kannur airport was yet to be cleared by the Centre. The chief minister said that the prime minister had been urged to expedite clearance for the project.

The House was also informed that the state government had assisted the Airports Authority of India in identifying the land required for the proposed airport as well as in its survey.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.