Bengaluru, Union Minister H D Kumaraswamy has urged Karnataka Chief Minister D K Shivakumar to take over the NICE road project and immediately halt what he termed “unauthorised” toll collection.
However, citing the High Court’s observations, he alleged that NICE later increased toll rates without corresponding notifications from the state government and called for an immediate halt to such collection. Referring to the High Court’s July 29, 2026 judgment, Kumaraswamy said the Division Bench had made observations on the functioning of NICE, the Karnataka Industrial Areas Development Board and the state government in implementing the BMICP. Kumaraswamy said a Legislative House Committee headed by former minister T B Jayachandra had examined the project and submitted its report on December 12, 2016, making recommendations on alleged irregularities. The Framework Agreement envisaged the transfer of 20,193 acres to NICE, including 6,999 acres for the toll road and 13,194 acres for five townships, according to the Union minister. On toll collection, Kumaraswamy referred to the Toll Concession Agreement entered into by the state government and NICE on September 4, 2000. He said the government subsequently proposed toll-rate revisions in 2008, 2010 and 2011. Kumaraswamy raised the issue of an additional 554 acres allotted to NICE by KIADB.
Shivakumar, however, said he had not yet gone through the letter and that the government would act in accordance with the law. He said that despite recommendations by the High Court, the Legislative House Committee and the Cabinet Sub-Committee, steps had not been taken to recover the additional land. The Cabinet Sub-Committee had recommended, among other measures, the recovery of additional land allotted to NICE, cessation of unauthorised toll collection, exclusion of land outside the FWA through appropriate notification, and recovery of acquired land allegedly being used for purposes other than those for which it was acquired, he said.
