Karnataka Forest Department Orders HMT to Surrender 430 Acres of North Bengaluru Land

On June 15, 2026, the Karnataka Forest Department ordered the public sector undertaking Hindustan Machine Tools (HMT) to surrender 430 acres of land in the Peenya Jalahalli region of North Bengaluru. The order, issued by Bengaluru Urban Deputy Conservator of Forests (DCF) N Ravindra Kumar, has sparked a major dispute, with Union Heavy Industries Minister H D Kumaraswamy criticizing the move as an attempt to block central government efforts to revive the struggling PSU.

The disputed land, valued at over Rs 15,000 crore, was originally declared a forest in 1896 and later transferred to HMT in the 1960s for industrial purposes through a donation deed.

According to Union Minister Kumaraswamy, the forest department's order represents an illegal interference in ongoing judicial proceedings, as the land ownership matter is currently pending before the court. HMT intends to challenge the surrender order in court, arguing that the DCF lacked the jurisdiction to issue such a direction.

Kumaraswamy stated that the order came just as the Ministry of Heavy Industries was working to secure a special central government revival package for HMT to offset its sustained financial losses. He alleged that the state government issued the notice with "malicious intent" to disrupt the announcement of this package.

The Union Minister also raised concerns over the valuation of the land, suggesting that private interests may be targeting the property. He claimed that a previous Congress-led state government had previously allowed 175 acres of HMT land to be given to real estate businesses.

The broader controversy surrounding the 599-acre Peenya Jalahalli plantation has seen previous administrative action. In January 2025, the Karnataka government ordered the forest department to take possession of 281 acres of vacant land within the plantation that lacked any buildings.

State Forest Minister Eshwar Khandre had previously raised concerns about HMT illegally selling land to private entities and government departments, noting that portions of the land had been used for commercial purposes, including real estate developments and film shoots.