Infosys claimed that the Attibele land that has been divested was purchased as "non-commercial" and "non-industrial land", at market value, and was not allotted by the government.
Published Dec 30, 2025 | 11:00 AM ⚊ Updated Dec 30, 2025 | 11:00 AM
Infosys. (iStock)
Synopsis: IT services giant Infosys made headlines after it reportedly sold a plot of land in Attibele to real estate developer Puravankara Ltd. Critics claimed that the land was allotted by the state government for the company’s expansion. However, the company clarified that the land was not government-allotted, stating that it had acquired the land in the open market.
Recently, IT services giant Infosys made headlines after it reportedly sold a plot of land in Attibele, Karnataka, to real estate developer Puravankara Ltd for an estimated ₹250 crore. Critics claimed that the land was allotted by the state government for the company’s expansion, particularly employment generation.
However, on Monday, 29 December, the company clarified that the land was not government-allotted, stating that it had acquired the land in the open market.
The clarification came after a report by the Times of India claiming that Infosys sold a 53.5-acre land parcel near Bengaluru to Puravankara Ltd, prompting questions over the legitimacy of the transaction.
Congress MP Karti Chidambaram suggested that the land may have originally been allotted by the government at concessional rates for a specific purpose.
“If the land was given at a concession for a specific purpose and the land wasn’t utilised for that purpose Infosys has no right to sell it for a commercial rate today. Return the land and proceeds to the Government of Karnataka,” he posted on X.
His remarks sparked a broader political and media backlash, with several politicians and journalists accusing the company of underutilising land meant for job creation and instead monetising it through real estate transactions.
Among the politicians who reacted was BRS leader KT Rama Rao, who used the development to accuse the Congress government in Telangana of indulging in a massive sale of prime public land.
“Congress Govt in Telangana is indulging in not just sale of one chunk of industrial land but 9,300 acres of land worth almost 5 Lakh crores !!” he said in a post on X, claiming that these prime lands were given by the government at a concession for a specific purpose — employment generation.
“Our demand is also the same. They have no right to sell the land and make money for their kith & kin,” he said.
The sale also revived scrutiny over Infosys’ broader land use practices, particularly where land was allotted or bought explicitly for employment generation. A similar controversy played out at the company’s Hubballi campus, where around 50 acres of land were allotted by the Karnataka Industrial Areas Development Board (KIADB) in 2015.
However, in a statement, Infosys claimed that the Attibele land that has been divested was purchased as “non-commercial” and “non-industrial land”, at market value, and was not allotted by the government.
Transaction records showed that the company acquired the land from Sobha and other associated persons five years ago. Meanwhile, Puravankara, in a stock exchange filing, said that the acquisition supports its strategy of adding “quality developable land” across strategic Bengaluru micro-markets.
The deal, according to Puravankara Managing Director Ashish Puravankara, reflects a disciplined approach to growth and confidence in the fundamentals of these locations to develop large, sustainable communities.
However, with reference to the Attibele deal, Infosys reiterated that the sale was executed in adherence with Infosys’ policies.
“As part of Infosys’ asset divestment program, a land parcel located in Attibele, Bengaluru, was identified for divestment and to optimise asset utilisation. The sale was executed in adherence with Infosys’ policies, external approvals and compliance with regulatory requirements,” their statement said.
Although the statement did not elaborate on why the company had bought the land from the market, former Chief Financial Officer of Infosys Mohandas Pai said in a post on X that the land was purchased from the market for a campus.
Responding to Chidambaram’s X post, Pai said, “This is not government land so please stop this fake narrative. It was purchased from the market for a campus, and now there is no need.”
When questions emerged over the usage of the KIADB-allotted land in Hubballi in February 2024, Karnataka Industries Minister MB Patil said the company had utilised 20 acres of land and generated employment for 280 persons.
“If they are not interested in developing the land, we will issue notice and take the remaining land back,” he had said, while responding to concerns raised by opposition leaders.
During a discussion during the Assembly session that year, Deputy Leader of the Opposition Arvind Bellad revealed that Infosys acquired land worth ₹1.5 crore per acre for a mere ₹35 lakh. “I requested farmers to part with their lands, saying their children would get jobs. Today, I can’t see them in the eye. I convinced them to withdraw their court case, also. There must be some penalty,” he had said.
The issue dominated debates in the legislature early this year as well, with several MLAs, including Chairperson of the Legislative Council Basavaraj Horatti, criticising Infosys for not “properly” using the allotted land for industrial development. MLC Pradeep Shettar accused the firm of utilising the land to develop gardens, which the employees used for walking and partying.
Urging the government to act, Horatti had said that the government should not go easy on the company purely because they are “influential”. “This is a serious issue; action should be taken to withdraw the land,” he had said.
In August 2025, while launching the Infosys Centre for Advanced AI, Cybersecurity, and Space Technology at its Hubballi Development Centre (DC), Minister for Rural Development and Panchayat Raj and IT, BT Priyank Kharge, claimed in a post on X, that over 1,000 professionals were working at the Hubballi centre.
“In just a couple of years, Infosys has built a thriving hub with over 1,000 professionals helping cement Hubballi’s place in Karnataka’s innovation map. This centre is proof that with the right intent and ecosystem, world-class capabilities can flourish across the state,” he said.
(Edited by Muhammed Fazil.)
