Issue Nº419-420 – News in brief

The Working Committee constituted by the Residents’ Assembly (RA-WCom) has shared with the community extensive information regarding land exchanges and transactions that have taken place in the last two years. It submitted a detailed report, a spreadsheet with a list of land exchanges that have taken place since 2022, and the conservatively estimated value it believes Auroville has lost, and a map of the plots involved. The RA-WCom added that the exact extent and location of land exchanged on some plots is not precise and that it is only sharing what it knows, but that there may be other exchanges of which the RA-WCom is as yet unaware.

The RA-WCom stated that Auroville is facing governance and financial mismanagement challenges, including opaque and dubious land exchanges conducted by the Auroville Foundation’s Governing Board (GB) and related bodies. Its key concerns include (1) Lack of transparency in recent land exchanges, bypassing consultation with key committees and stakeholders; (2) Allegations of undervaluation of Auroville lands, resulting in significant financial losses. (estimated at more than ₹150 Crores or US $18 million); (3) Disregard for established procedures, including independent valuation and government approvals; and (4) Failure to uphold the principles of mandatory community (Residents’ Assembly) consultation and adherence to Auroville’s founding ideals.

The RA-WCom has requested government intervention to freeze ongoing land exchange deals and conduct independent investigations; has sent legal notices to authorities regarding violations of finance rules and lack of consultation; and has raised concerns about the secrecy surrounding land exchanges and conflicts of interest among involved parties. It has called for immediate intervention to halt all land exchanges and address malpractices in order to ensure transparency and adherence to proper processes and Auroville’s principles.

On June 9th, the Auroville International Advisory Council (IAC) shared with the community that during a joint meeting with the GB on May 31st, it had called for a more transparent and inclusive land exchange process. The IAC affirmed that it understands and supports the need for the consolidation of land in both City and Green Belt areas, so that the city the Mother envisioned can be built. But it also stated that a city is more than infrastructure and is about the people who create, live in and maintain the city, sacrificing so much to actualize the Mother’s vision, which, if successfully achieved, will benefit all of humanity. “We are convinced that the city is about the spirit more than the material manifestation. However, that manifestation is a vessel for the spirit, and HOW the city develops does matter,” wrote Ms. Dena Merriam, the IAC Chairperson. “We believe that promises made must be kept, losses must be compensated for, and careful consideration given to which lands are being exchanged, which implies a fair process of consultation with the concerned residents and relevant working groups.”

The IAC has communicated to the GB much of what it has been hearing from the Aurovilians and will shortly be recommending ways to move forward in a manner that, in its estimate, would be transparent and unifying.

The RA-WCom informed the community that the hearings in the Supreme Court of India on the verdict from the Madras High Court of 15th March 2024, which had invalidated the GB’s Auroville Town Development Council (ATDC) and had called for more collaboration between the GB and the Residents’ Assembly (RA), will probably take place in the second week of July. The RA-WCom clarified that the stay order of the Supreme Court on this verdict does not validate or legitimize the GB’s ATDC or their actions, which remain sub-judice. The RA-WCom expressed concern that the ATDC a) acts in total defiance to earlier decisions of the Residents’ Assembly, and the residents’ advice or well-being; b) fully ignores environmental and sustainability concerns and accomplishments, even though they are among one of Auroville’s biggest strengths in an increasing planetary crisis; c) does not respect national and international standards in terms of planning and development; d) misuses funds generated by the residents of Auroville without their consent; e) violates on all fronts the values and ideals of Auroville.

The RA-WCom also expressed its regrets that the Office of the Secretary, supported by the GB, have repeatedly appealed judgements which were fair and remain an invitation for mutuality and collaboration, in the true spirit of Auroville. This, stated the RA-WCom, “undoubtedly shows a lack of understanding of Auroville’s purpose, values and vision.”

On May 6th, the Auroville Forest Group, which was constituted by the RA in 1982 and which is endorsed in the Auroville Universal Township Master Plan – Perspective 2025, circulated an email reiterating its commitment to nurture and protect the green spaces and provide an integrated ecological basis for Auroville, physically and spiritually.

The Forest Group reaffirmed its dedication to a wider economic approach that supports Auroville’s enduring commitment to a gift economy. The Group stated its intention to avoid commercializing its activities for profit, emphasizing that its work in addressing Climate Change and the loss of two-thirds of the global biodiversity involves intangible values essential to community survival and the common good, rather than mere monetary gains. As stewards of the Auroville forests, the Group sees itself as custodians of biodiversity, soil regeneration, erosion control, aquifer recharge, air quality, afforestation and the preservation of cultural practices and ancestral knowledge vital for sustainable living. The group also commits to upholding the rights of nature.

The Group stated that it continues to operate beyond profit-driven objectives to embrace a service-based model that is communally oriented, not only for Auroville itself but for the entire bioregion, and attuned to the pressing environmental concerns. The Group recalled that it is presently working under challenging circumstances, as its Financial Service accounts have been frozen, budgets have been cut without consultation and the maintenances of 42 foresters and 62 forest workers were abruptly discontinued by the GB-constituted Funds and Assets Management Committee (GB-FAMC) by email in June 2023.

In the beginning of May, the Auroville farmers published a report in the community edition of the Auroville News and Notes questioning the results of the imposition of the fruit harvest auction by the Auroville Foundation Office (AVFO). The farmers had been told that they had to agree to their fruit being harvested and sold to outside contractors. Since then, the harvest of the fruit trees of Auro-Orchard were purchased by a consortium from Auroville consisting of the Visitors Centre Cafeteria and the PTDC. The fruits from three other Auroville farms were purchased by outside contractors for a total cost of Rs 28,000.

Recently these contractors started arriving at the farms to assess what is available. Having done this, the contractors are now ready to take cash from the farmers to buy back the contract for a slightly increased cost of Rs 30,000. This could be because it now appears that the harvest won’t be as good as they first thought, so they are likely to lose money. The Farm Group, however, did not feel this option to be correct. “While buying back the lease may be a tempting way to keep the fruit for Auroville consumers, it is also expensive as the fruit is bought twice over. It also shields the AVFO from the consequence of its actions and means that both they and the contractors don’t get to feel the effects of what is a very impractical and immoral way of dealing with Auroville farm assets. Impractical because it is difficult to see how putting the fruit out to tender improves the food security of the community. Immoral because food is not just another asset to be sold to the highest bidder, but a basic need to which everyone should have access, especially when the food is carefully grown to be as healthy as possible, free of pesticides and other poisons and doesn’t deplete our natural resources of soil and water,” wrote the Farm Group. The Farm Group also questioned who will take care of the fruit trees once the contractors have harvested the crop so they can continue producing healthy fruits for Auroville, and who will pay for this.

The Farm Group stated that there are still many other unanswered questions. According to the conditions of the lease contract, the harvested fruit must first be offered to Auroville before being offered to the open market. How will this be done? Many contractors pick the fruit in large amounts and then ripen it artificially, in contrast to Auroville farmers who tend to ripen the fruit on the trees and to pick in smaller quantities according to the needs of the community. Moreover, if the fruit is ripened artificially, how will it be kept separate from other fruit in the usually very large containers which are used for this purpose? There are different methods of artificial ripening and some of the chemicals used can be very poisonous. If this is the way the fruit is going to be ripened, it will completely negate the careful organic way in which the fruit has been grown in Auroville. In the light of these concerns Auroville farmers think that this contracting out of fruit and cashews should not be repeated.

The Farm Group also questioned if it is the purpose of Auroville farms to grow food for the community or to make profits. There is no information what is done with the money collected from the fruit leases. The farmers feel strongly that they should be reimbursed for the work they have put into planting and maintaining the trees and preparing them for harvest. A few months ago all farmers’ maintenances was cut so this loss of harvest income is acutely felt. Requests to the GB constituted Funds and Assets Management Committee (GB-FAMC) for the money from the lease contracts have only been countered by requests from the GB-FAMC to each farm to create a budget, but no indication has been given that even if a budget is created the farm will receive the amount of the budget requested or any money at all. In fact, some farms have been told that in future 40% of any income they make will be taken by the Auroville Foundation Office, although there is no transparency about where the money will go and whether it will be used to support farms in the future.

In April 2022, units and projects that had been receiving donations from abroad were informed that the Funds and Assets Management Committee constituted by the Governing Board of the Auroville Foundation had come up with a process to ensure compatibility with the Foreign Contribution Regulation Act (FCRA). Thus far, all foreign donations had been received in the Unity Fund with the donor earmarking the beneficiary, and the Unity Fund executives then transferring the donation from the Unity Fund account to the unit’s or project’s account.

The new process put a stop to this simple mechanism. Now a budget proposal or a paper describing the project, indicating those responsible for the utilisation of the donated funds, and a clear financial and narrative quarterly and yearly reporting about how the funds are utilized would be required. A monitoring team was to be created to ensure that all required information is obtained before donations received in the Unity Fund would be disbursed to the beneficiary and that the reports would be submitted in time. Beneficiaries were informed that no funds would be disbursed unless these process points had been completed; and they were warned that 80% of funds received must be utilized in the same financial year.

But for almost a year nothing happened. In July 2023, beneficiaries were informed that Guidelines for the channeling of donations had been crafted by the GB-FAMC, which would serve as a foundational document for the operations of the Donation Channeling Group (DCG), a subgroup of the GB-FAMC.

The GB, in its 65th meeting held on 12th December 2023, approved the constitution of the DCG. In January 2024, the DCG informed the beneficiaries that (1) Units and projects seeking donations for the first time must register before commencing fundraising activities; (2) all units and projects currently receiving or intending to receive donations need to file a “Project Registration Form” (PRF); that (3) a “Donor Information Form” (DIF) must be filled for every donor, ensuring comprehensive documentation of donor information; and (4) that for every request for withdrawal of funds from the Unity Fund, a “Funds Release Form” (FRF) needs to be filled in. The DCG warned that only units and projects registered with the DCG will be eligible to receive donations through the Unity Fund or via donation portals; and that non-compliance of the guidelines may result in a pause in fund releases or even the replacement of project holders.

Release of funds is also conditional on the payment by the unit of its profit contribution and payment of the City Service contributions for or by those who work for the unit. The key highlights of the new process include an Approval Mechanism – PRFs will be processed within seven working days of submission, with rejection subject to discussion with project holders and the FAMC; the introduction of “Project Assessment Criteria” – projects are evaluated based on their alignment with Auroville’s ideals, sustainability, and tangible outcomes; and Compliance Enforcement – failure to comply with guidelines may result in fund release delays or further disciplinary actions. The DCG said that donor information will be treated with utmost confidentiality and disclosed only as required by statutory obligations.

Yet, the process did not take off. In March 2024, the DCG wrote that, though the Unity Fund had received donations for units and projects in the first months of the Financial Year 2024-2025, funds were not released “as the DCG was waiting for updated Guidelines for book-keeping specific for donations from the Auditors,” and that “Once received, approved and communicated to the Community, the release of funds will start.”

In the beginning of June this year the green light was given – apparently by the Governing Board in its meeting of May 31st – and units and projects who had received donations were invited by the DCG to send it to the FRFs.

The Auroville Dog Shelter, home to nearly 300 rescued dogs, urgently needs financial support. Despite being a municipal service, it receives only Rs. 50,000 per month from the Budget Coordination Committee, far short of the Rs. 3 lakh needed for basic expenses like food, wages, vital medicines and vaccinations. All services like sterilisations, vaccinations, free veterinary treatments and emergency rabies rescues are now halted due to the lack of funds. The dog shelter cannot take in any more dogs due to lack of funds, quarantine facilities and staff. Without immediate funds, the shelter will have to start releasing dogs in the streets.

In the News in Brief section of the May issue of Auroville Today it was mentioned under “Awards for Auroville architects” that Suhasini Laxman Iyer had won the Indian Institute of Architects IIA National Award 2022 in the category Residential Projects for the Humanscapes Habitat buildings. This is incorrect. Suhasini has won a commendation for these buildings. Also, only Auroville architect Ganesh Bala Iyer won the award in the category Conservation and Restoration and Preservation and Adaptive Reuse for André and Prema’s old house in Auromodѐle, originally designed by Roger Anger. Architect Neha Dighe had collaborated in this work but was not awarded.