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Amaravati Capital Land Acquisition Scam | Report Scams

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courtChit Fund / Real Estate FraudAmaravati, Andhra Pradesh

Amaravati Capital Land Acquisition Scam

Following the bifurcation of Andhra Pradesh under the Andhra Pradesh Reorganisation Act of 2014, Amaravati was chosen as the new capital city by the administration of Chief Minister N. Chandrababu Naidu. To create a land bank for this development, the government implemented a land pooling initiative through the Andhra Pradesh Capital Region Development Authority (APCRDA) Act. Landowners were asked to surrender their lands in exchange for developed plots, financial compensation, and annuity payments.

State

Andhra Pradesh

First reported

March 2022

Amount alleged

₹2,000+ Cr (alleged)

Region

Amaravati, Andhra Pradesh

Agency involved

Andhra Pradesh Capital Region Development Authority (APCRDA)

Land targeted

53,748 acres across 27 villages

Land pooled

33,733 acres

Status

Subject to legal challenges and court rulings after the government attempted to shift or abandon development.

The full story

Everything you need to know about this case, in one place.

While many farmers participated in the land pooling scheme, approximately 33,733 acres were gathered out of an intended 53,748 acres across 27 villages. However, the project faced resistance and concerns regarding compensation rates from farmers in areas such as Penumaka and Undavalli. Interim government buildings, including the secretariat at Velagapudi and a temporary high court complex, were subsequently constructed and inaugurated.

Following the 2019 elections, a change in government brought skepticism regarding the viability of building a single capital city. The newly elected administration moved to slow down construction and proposed establishing three separate capital cities. This proposal triggered widespread protests, legal challenges, and prolonged agitations by farmers and civil groups demanding that Amaravati remain the sole capital of the state.

Not yet reported: The provided text does not report any final financial scam amounts or specific criminal charges against individuals.

Where the case stands

The latest position in the reports we read.

The matter became politically and legally contested, with the Andhra Pradesh High Court ruling that the state could not abandon Amaravati as the capital amid ongoing agitations and protests.

Who was affected

Described in general terms; we do not name victims.

Farmers and landowners across 27 villages in the Amaravati region who surrendered their land under the capital pooling initiative.

Timeline

Key dates as reported, oldest first.

2014The Andhra Pradesh Reorganisation Act was passed, and the APCRDA Act was implemented to establish a land bank for the new capital.

September 1, 2014The State Cabinet approved the decision to locate the new capital around Vijayawada.

October 22, 2015Amaravathi was officially announced as the site for the new capital city following a cabinet meeting.

March 2017Government legislature and secretariat operations began from new interim facilities at Velagapudi.

2019A change in government led to skepticism over the capital project, resulting in slowed construction and proposed plans for three capitals.

2022The Andhra Pradesh High Court ruled that the state could not abandon Amaravati as the capital.

How the scam worked

The method described in the reports.

The administration implemented the APCRDA Act to facilitate voluntary land pooling.
Landowners surrendered their land parcels in exchange for developed plots and financial compensation.
The government offered annuity payments for a duration of ten years to support those who gave up their land.
Small land parcels were aggregated, improved, and partially returned to the original owners as part of the capital development plan.

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Keep reading

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Sources and further reading

Optional. The full story is above; these are the original reports it was prepared from.

en.wikipedia.orgOriginal report Primary source / searchen.wikipedia.org Supreme Court Affirms Quashing Of FIR Against Andhra CM Chandrababu Naidu & Ex-Minister Over Amaravati... - Live LawLive Law · 14 Aug 2026

Prepared by Report Scams, with the help of AI, from the published reports listed above. Check those reports for the latest. Cases here describe allegations. An FIR, arrest or charge is not a finding of guilt. To report a mistake, or to ask for a correction or removal, write to our Grievance Officer. See also the Safe Posting policy.