The controversial Lavasa Hill City project in Pune district has attracted the Comptroller and Auditor General of India's attention. Lavasa is being developed by the HCC Group. The CAG, in its latest report, said: “The project was driven by private interest rather than public interest. The State Government gave environmental clearance to the project without referring it to the Government of India.” Not transparent The report, tabled in the Assembly on Tuesday, pointed out that HCC's selection as a developer by the Maharashtra Government was not transparent. It said the then State Government's policy decision of November 1996 to develop the township in the hill station areas with private participation was implemented without giving wide publicity. Expressions of interest were not invited, which resulted in Lavasa bagging the project in June 2001. The report pointed out that the policy is now more than a decade old but no other hill station has been developed with private sector participation in Maharashtra, resulting in skewed development in the State. Referring to the Special Planning Authority (SPA) status granted to Lavasa, the CAG has said it was an unprecedented move. The State Government, instead of supervising all aspects of the project implementation, has “abdicated monitoring of the project, resulting in extension of undue favour and benefits to the developer” Long lease The SPA approved plans and layouts of Lavasa Hill City that were not in conformity with Maharashtra Regional Town Planning Act and Development Control Regulations, the report said. Lavasa has also leased land to other private parties on a long lease of 999 years. The State Government, however, has no knowledge about this, the report added.